Georgia Tow Truck Insurance

Georgia Tow Truck Insurance Explained

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Whether you are a new operation or an existing Georgia Tow Truck company you are going to need insurance. The amount of insurance you need will depend on the scope of your operation as well as your operational area and the type of equipment you are using. Georgia law requires you to carry a certain minimum amount of insurance in reference to the parameters above.

Commercial Auto Liability Limits

Georgia Tow Truck Insurance minimum levels of combined bodily injury, property damage liability, and Garagekeepers

Any Wrecker Type
Liability Minimum – $100,000 Bodily Injury each occurrence / $300,000 Bodily Injury each accident / $50,000 Property Damage
Garagekeepers – $50,000 Minimum

Georgia has no requirement for Garagekeepers or On-hook, but that doesn’t mean you shouldn’t carry these coverages on your policy.

1. Garagekeepers – To provide coverage against damages sustained while the vehicle is in your care, custody, and control. These damages may include theft, vandalism, fire, water, or collision.

Garagekeepers Comes in Two Forms…Direct & Legal Liability


Direct Liability is then broken down into two options, Direct Primary and Direct Excess.

Direct Primary. This will be the most comprehensive, as well as the costliest coverage. Direct Primary coverage will provide coverage for the vehicles in the care, custody, and control of the insured. Direct Primary coverage will pay out regardless of any negligence and will start paying at dollar one. An example of coverage would be an insured’s vehicle damaged by hail. There is no negligence, the insured cannot control the weather, yet since the vehicle was on his property his policy will pay for the damages.

Direct Excess. This is less expensive than Direct Primary, and will provide mid-level coverage. If there is no negligence on the part of the insured, then the customer’s insurance will pay first. If their policy limits are exceeded, or if they do not have the coverage to begin with, then the garagekeepers policy will pay.


Garagekeepers Legal Liability is the least expensive garagekeepers option. This coverage will only pay for damages as a result of negligence on the part of the insured. An example would be the insured forgetting to lock the gate protecting the lot, resulting in vandalism of the vehicle.

2. On-hook Insurance – To protect your business from damages to a vehicle that you do not own. This will provide coverage while hooked to the tow truck

Additional Coverage Options

  • Uninsured/Underinsured Motorist Coverage – This is an additional coverage that can be purchased on your commercial auto policy. This coverage provides bodily injury coverage for yourself or a passenger if you are involved in an accident with another motorist and that motorist is at fault. If the at fault party does not have any liability insurance or an inadequate amount of liability insurance you could be stuck with a large amount of medical bills if you are injured. If you carry uninsured motorist coverage then you would have an extra coverage to fall back on in this scenario.
  • Medical Payments – This is an additional coverage that can be added to your commercial auto policy. This coverage provides additional medical injury coverage for you and/or your passengers if you are injured in an accident while driving your vehicle.
  • Customer’s Contents Coverage – This can be purchased to provide coverage for personal items owned by your customers that have been left in their vehicle. If there vehicle is burglarized while in your care, custody, or control you can use this coverage to reimburse them for their lost items.
  • Physical Damage Coverage – This coverage is needed if you want to be reimbursed for damage to your vehicle/equipment. There are several variations of physical damage coverage but the standard coverage package includes comprehensive and collision coverage with a stated deductible for each. If your vehicle is involved in a covered loss you would be paid the actual cash value of the damage minus your deductible. Most commercial policies will set a maximum limit of payout for physical damage on any one vehicle. This is usually referred to as the “Stated Amount.”” For Example, if you had a tow truck covered for comprehensive and collision coverage with a stated amount of 40,000 your insurance would respond to a loss as follows. After crashing the vehicle the actual cash value of the vehicle would be determined. You would then be paid that value (Not to exceed the stated amount) minus your deductible.

Barbee Jackson Insurance – Your Georgia Tow Truck Insurance Experts

Barbee Jackson Insurance is a leading provider of Georgia Tow Truck Insurance and we work with the largest Commercial Auto insurance carriers to provide our clients the best coverage options for the best price. Our professional staff is always here to help…even if you insure with our competitors. Call today if you need any help understanding coverage options or if you are looking for a competitive quote, Call Us Today 850-389-2001.

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