Written by: Caleb Jackson Transportation Risk Insurance Professional (TRIP) and Vice President of Trucking for Barbee Jackson Insurance. When I was handed the keys from a retiring agent to a trucking insurance book to manage one of the first things I can remember was getting a phone call from a prospect asking for “Reefer Insurance”. Being new to trucking insurance my response was “No”, we can’t insure marijuana. I quickly learned that the trucker was asking for Refrigerated Cargo Insurance. To this day we still joke about my first time learning about reefer insurance.

Keeping your Cargo Cool with Barbee Jackson Insurance

Barbee Jackson Insurance is recognized as a leader in transportation insurance servicing clients throughout the United States. Our agents are trained to handle all types of trucking risks from hazardous materials to Refrigerated Cargo. Call one of our agents today to get started (850) 389-2001 (Spanish speaking agents are available)

Tennessee Trucking Insurance Requirements

All trucking operations with gross vehicle weight rating (GVWR) of 26,000 lbs or more are regulated by the Tennessee Department of Transportation (TDOT) and they closely follow the FMCSA insurance requirements of $750,000 in combined single limits of liability insurance. Most refrigerated truck loads will meet and exceed the GVWR and will have to maintain this insurance requirement.

Judith Hill ⭐⭐⭐⭐⭐”Response was quick and all my questions were answered in a timely manner. Staff was professional and patient.”

Reefer Insurance Cost

Reefer Insurance will run anywhere from $10,000 for regional operations up to $21,000 for interstate operations. This includes liability and cargo insurance (cargo at $100,000)

How Reefer Insurance Works

Reefer Insurance refers to Refrigerated Cargo insurance. It is mechanical refrigeration failure that is not covered under a standard cargo policy unless separately endorsed onto the cargo policy. The most common commodity hauled is agriculture and pharmaceutical goods.
What is covered

• Spoilage from mechanical breakdown of the reefer unit - this includes malfunction of the unit itself. It is important that refrigerated units be kept on a maintenance schedule that is documented in the event of a claim. We highly suggest that the unit be serviced bi-weekly to prevent any maintenance issues.
• Cargo Loss - If the unit fails it will pay for the cargo that is damaged due to the unit failure.
• Emergency Response - In the event of unit failure, insurance will pay the cost to try to save the load by rerouting to a repair facility or transfer of the load to another unit. Not all insurance companies will offer this option, so it is important to check for the policy prior to purchasing reefer breakdown insurance.

What is not Covered

• Driver Negligence - No pre-trip check such as forgetting to turn the unit on.
• Loading and Unloading

Coverage Options

• Physical Damage - The cost to repair or replace the rig and trailer after a covered loss.
• Trailer Interchange - Trailer interchange is one of the more common coverages requested on a reefer operation. Many companies will load the goods in their owned refrigerated trailer prior to you picking up the load. Trailer interchange covers the cost of the trailer if it is involved in an accident. Coverage levels start at $10,000
• Workers Compensation - Covers workers medical payments in the event that an employee is injured on the job.
  

“Contacted them about 4 months ago now in a tight spot with my business renewals and needed some things done quickly. Tyler Henderson was extremely knowledgeable and helpful. Got my business better rates on all 3 of my commercial policies and did it with great communication. Truly a great experience it’s always great working with someone that knows what they’re doing and gets it done. Thanks again!” ⭐⭐⭐⭐⭐Cailin Nash

Frequently Asked Questions

What is the most common claim on Reefer Breakdown?
The most common is driver negligence, such as not turning the unit on or checking to make sure the unit is keeping at the required temperature. As described earlier, failure to turn the unit on or verifying that the unit is keeping temperature is not a covered loss. It has to be mechanical failure to the unit.
Is Trailer Interchange required?
No, but most owner operators do not own refrigerated trailers. These types of trailers are usually owned by the supplier for loading and maintenance purposes.
How much cargo coverage is included?
There is no set amount - coverage levels start at $25,000, but most companies that you haul for will require $100,000 to $250,000
Is damage to repair the refrigerated unit included in the policy if it fails?
No, cost to repair the unit is not included unless it is involved in a covered loss.

Agents are standing by to answer all your questions. Call today to get started (850) 389-2001 or fill out the quote request form to have an agent call you.