Many owner-operators assume their Primary Liability policies cover them anytime they are driving their trucks. In reality, this protection only applies only when they are under dispatch. The moment an owner-operator finishes a job and operates the truck for personal reasons, they may be left without coverage and exposed to significant financial risk.
In this article, we explain what Non-Trucking Use Liability (NTL) coverage is, when it applies, how it differs from other common coverages and why it is a critical investment for independent truckers.
What Is Non-Trucking Use Liability (NTL) Coverage?
Non-Trucking Use Liability coverage provides liability protection when operating a truck for personal use and not in furtherance of the commercial business interests of the motor carrier leasing the truck. This coverage applies to claims for bodily injury or property damage you may cause to others during personal activities.
Examples include driving your truck for solely personal reasons, such as visiting family or running errands. Your Primary Liability policy covers you only when you are hauling a load or operating on behalf of a motor carrier. Without NTL coverage, any accident that occurs during personal use could leave you responsible for damages out of pocket.
Joe Morten & Son, Inc. offers NTL policies designed specifically for owner-operators, helping you stay protected on and off the job.
NTL vs. Bobtail vs. Primary Liability
Many drivers mistakenly believe NTL and Bobtail coverage are the same, but they serve different purposes and apply in different scenarios.
- Primary Liability
This coverage is required by the Federal Motor Carrier Safety Administration and covers you while operating on behalf of a motor carrier or in furtherance of the motor carrier’s commercial business interests. - Non-Trucking Use Liability (NTL)
This covers personal use of your truck when you are not using the truck in furtherance of the motor carrier’s commercial business interests, protecting you from liability in non-business activities. - Bobtail Insurance
This coverage is narrower and typically covers you only when driving without a trailer and not under dispatch.
Choosing the correct combination of these coverages is essential to avoid costly gaps that can expose you to lawsuits and financial loss. Joe Morten & Son, Inc. works closely with owner-operators to build a coverage plan tailored to their specific operational and contractual needs.
Why NTL Coverage Is a Smart and Often Required Investment
In many lease agreements, motor carriers require owner-operators to carry NTL coverage to address potential liabilities when the truck is operated for personal reasons unrelated to the motor carrier’s business. Even when not explicitly required, this coverage is a wise investment for personal protection.
Without NTL, you could be held personally responsible for injuries or property damage caused while using your truck for personal reasons. Legal expenses, medical bills and repair costs from an at-fault accident could threaten your financial stability and future earning potential.
Joe Morten & Son, Inc. provides affordable, reliable NTL coverage options to help owner-operators maintain peace of mind whether they are hauling a loads, returning home, or using their trucks for personal errands.
Protect Yourself Beyond the Job
For owner-operators, Non-Trucking Use Liability coverage is a vital part of a comprehensive protection plan. It fills the gap between work-related driving and personal driving and supports compliance with many motor carrier requirements.
Ready to secure Non-Trucking Use Liability coverage for your rig? Contact Joe Morten & Son, Inc. today for a personalized quote and a detailed coverage review designed for owner-operators like you.
This material is intended to be a broad overview of the subject matter and is provided for informational purposes only. Joe Morten & Son, Inc. does not provide legal advice to its insureds or other parties, nor does it advise insureds or other parties on employment-related issues, therefore the subject matter is not intended to serve as legal or employment advice for any issue(s) that may arise in the operations of its insureds or other parties. Legal advice should always be sought from legal counsel. Joe Morten & Son, Inc. shall have neither liability nor responsibility to any person or entity with respect to any loss, action, or inaction alleged to be caused directly or indirectly as a result of the information contained herein. Reprinted with permission from Great West Casualty Company.