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Utility Trailer Insurance: Cost & Quotes from $11

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Utility trailers provide unparalleled performance and value. Businesses leverage these commercial utility trailers to haul equipment and machinery as well as transport goods and supplies to destinations. As a legal requirement, most states require that these commercial utility trailers have valid insurance and registration with the state motor vehicle department. While each state will have various insurance requirements, a standard requirement is purchasing utility trailer insurance.


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What is Commercial Utility Trailer Insurance?

Commercial utility trailer insurance is a specialty cover taken out by businesses as a protection from unexpected events involving their commercial utility trailers. When you purchase said insurance on a utility trailer, you are assured of compensation in the event that the commercial utility trailer is damaged, lost, or is liable for the injuries and property damage of others. 

Unlike a personal tool trailer insurance, commercial utility trailer insurance is more comprehensive as it offers different kinds of business insurance policies. Consider getting this if you’re making money by:

  • Renting out utility trailers

  • Selling utility trailers

  • Using a utility trailer to transport the cargo of clients

 

The features of commercial equipment trailer insurance differ from one carrier to the next. Nonetheless, these are the most common business insurance policies you can avail:

  • General liability insurance

  • Product liability insurance

  • Commercial property insurance

  • Workers compensation insurance

  • Trailer interchange insurance

 

General Liability Insurance for Commercial Utility Trailer

The primary coverage that's part of the commercial utility trailer insurance is liability insurance. This liability coverage provides financial protection in the event that, as the owner of the trailer, you cause any accident or injure anyone. The coverage pays the victim's medical bills as well as any other additional costs that are as a result of the accident. Further, the policy will pay for any legal defense in the event that you end up haggled in a lawsuit. 

You can get more protection from general liability insurance by including additional coverages to its terms. These are:

  • Advertising injury coverage-With advertising injury coverage, general liability insurance will cover settlements, attorney fees, administrative costs, judgments, and other related expenses if your utility trailer business is sued for copyright infringement, slander, or libel 

  • Rented premises liability coverage-You can add this to general liability insurance if you’re renting a space for your utility trailer business. When the rented space is damaged, rented premises liability coverage will reimburse the owner 

For utility trailer businesses, general liability insurance provides a $1 million-$3 million per occurrence limit with an aggregate of $3 million-$4 million. 


Professional Liability Insurance for Commercial Utility Trailer

A professional liability policy can be added to commercial utility trailer insurance if you’re using a utility trailer to transport cargo.

Professional liability insurance will pay for indemnification and defense costs if clients sue for negligence because of:

  • Lost cargo

  • Missed or delayed delivery

Insurance companies allow utility trailer businesses to get a professional liability insurance that offers a $1 million per occurrence limit with an aggregate of $2 million. 

Some insurance companies give you the option of buying professional liability insurance as an occurrence or claims-made policy. 

Occurrence professional liability insurance provides protection regardless of when you decide to report a covered peril. On the other hand, claims-made professional liability insurance only provides protection if you report a covered peril at the time it happened. 

Many experts treat general liability and professional liability insurance as complementary policies, which means that one caters to the gaps of the other. 

We recommend you get professional liability and general liability insurance. By having both, you get a comprehensive protection against third party liability claims. 


Product Liability Insurance for Commercial Utility Trailer

Product liability insurance is useful if you’re renting utility trailers. This kicks in when a renter sues for property damage or injuries caused by your utility trailer. 

Similar to general liability insurance, product liability insurance also covers attorney fees, settlements, administrative costs, and other related expenses.

Product liability insurance is available as a stand-alone policy. However, the majority of insurance companies encourage you to get this as an optional inclusion to general liability insurance. 

So how much money can you get from product liability insurance? The limits of the policy are $1 million-$2 million with an aggregate of $2 million. 


Commercial Property Insurance for Commercial Utility Trailer

Commercial property insurance is a protection for your utility trailer business’s building as well as the utility trailers that it owns. This will also cover other business properties such as computers, generators, etc. 

The primary function of commercial property insurance is to recover losses if your utility trailer business’s building is damaged or destroyed by:

  • Fire

  • Theft

  • Vandalism

  • Malicious mischief

  • Sinkhole collapse

  • Volcanic action

  • Hail

  • Snow

  • Winds

  • Aircraft

  • Vehicle

  • Impact

  • Sprinkler leakage


Commercial property insurance has contents coverage. With contents coverage, the policy can cover losses if any of the perils in the bullet above cause the damage or destruction of utility trailers and other business equipment  while they’re in the premises of your business. 

Equipment breakdown coverage can be added to the terms of commercial property insurance. By having this, commercial property insurance will provide reimbursements if your utility trailers and other business equipment sustained damage due to:

  • Operator error

  • Electrical surge

  • Flood damage

  • Impact

  • Mechanical breakdown


For utility trailer businesses, commercial property insurance provides a $15,000-$25,000 coverage for business property damage or loss. This is just the minimum though. That said, it’s possible for you to find a carrier providing up to $500,000 coverage. 

Note that some carriers allow you to get commercial property insurance as an all-risk policy or named perils policy. An all-risk commercial property insurance covers all of the exposures we mentioned. Its named perils counterpart, on the other hand, only covers perils named on its terms. 


Workers Compensation Insurance for Commercial Utility Trailer

Your utility trailer business will employ people. After all, you need someone to maintain the utility trailers, manage finances, and cater to customer requests. Workers can ask you to provide compensation if ever they sustain a work-related injury.

To satisfy this responsibility without compromising your business’s finances, consider getting workers' compensation insurance. Workers' compensation insurance will cover the following costs:

  • Ambulance and emergency treatment-Your utility trailer business can use workers' compensation insurance to cover ambulance and emergency treatment fees if an employee experiences a work-related injury or disease

  • Hospitalization-Workers compensation insurance allows your utility trailer business to cover bills on an employee’s behalf if he or she needs to remain in the hospital for days, weeks, or months

  • Medication-The worker's compensation insurance of your utility trailer business provides the money which can be used for buying prescription medicines

  • Rehabilitation-Workers compensation insurance will cover therapist fees, retraining, and other rehabilitation expenses if the employee of your utility trailer business experiences an impairment after sustaining a work-related injury or disease

  • Lost wages-Your employee can recover lost wages through workers' compensation insurance if he or she can’t work due to a work-related injury or disease. This comes in the form of a weekly allowance equal to two-thirds or 67% of the average weekly wage 

  • Funeral expenses-Workers compensation insurance covers funeral expenses if an employee of your utility trailer business dies due to a work-related injury or disease. It will also provide financial assistance to dependents 


Remember that your utility trailer business can only use workers' compensation insurance to cover the injuries or diseases of a full-time or part-time employee. Anyone working under you who aren’t necessarily part of your business’s payroll is excluded. 

It’s easy to estimate how much you’ll pay for workers' compensation insurance. All you have to do is figure out your business’s average payroll, divide it by 100, then multiply the quotient by the worker's comp rate of the insurance company. 


Trailer Interchange Insurance for Commercial Utility Trailer

You might need to borrow or rent a trailer. And so, it’s smart to get trailer interchange insurance. Trailer interchange insurance is a coverage for trailers you borrow or rent under a trailer interchange agreement. If they become lost or destroyed due to theft, breakdown, and other covered perils, trailer interchange insurance will reimburse the owner on your behalf. 


Cargo Insurance for Commercial Utility Trailer

Cargo insurance will allow you to reimburse the owners if the cargo being transported through your trailer becomes lost or damaged due to a vehicular accident, employee error, theft, lightning, jettison, and other covered perils. 


Emergency Roadside Assistance for Commercial Utility Trailer 

Insurance companies also underwrite emergency roadside assistance for utility trailer businesses. This will provide a $750 reimbursement for transportation expenditures if your utility trailer breaks down and needs to be hauled or towed.  You also get a $500-$1,000 refund for tire replacement and roadside repair services.


Do You Still Need Commercial Utility Trailer Insurance Even Though You Have Commercial Auto Insurance?

It is prudent to mention that while you might have already had auto insurance, you will still be required to purchase insurance for a utility trailer attached to your primary motor vehicle. Most insurance providers insist on insuring a utility trailer separately from your primary commercial auto insurance.

An additional point to note is that if you were using the utility trailer for non-business purposes, you should be sufficiently covered by a personal auto policy. However, the moment you use the utility trailer for any commercial purposes, you will be required to get a commercial auto policy as well as utility trailer insurance. 

Compare Cheap Utility Trailer Insurance Quotes Online

Get all the best quotes from leading providers in a click of a button!

Utility Trailer Rental Insurance 

On average, a dual utility trailer will cost between $1,200 and $3,000, depending on size and weight capacity. A commercial-quality utility trailer will cost between $4,000 and $7,500. For most businesses, this will take a huge chunk of your budget. Fortunately, depending on your business model, you can rent out a utility trailer. 

Renting a utility trailer saves you from the high initial cost while still ensuring that you have a utility trailer for all your business needs. Unfortunately, this model can end up being quite expensive in the long run, thus defeating its purpose. 

Imagine a situation where the utility trailer is stolen or vandalized. Further, suppose the utility trailer is damaged, or you end up destroying another's property while in command of the utility trailer. 

Without proper coverage, you will be required to pay for these costs out of pocket. This can be quite detrimental for your business seeing as you might need to take out your savings to pay for the costs. 

That's where utility trailer rental insurance comes in. The insurance coverage starts by covering the cost of the actual renting. After that, every cost incurred while you are in possession of the utility trailer is covered by your rental policy. 

 

Theft Insurance for Utility Trailer

Theft insurance for utility trailer will cover the repair costs in the event of theft. This policy can also replace your utility trailer if you can’t recover it after being stolen. 

Utility trailer theft insurance is bought as a replacement cost or actual cash value policy. An actual cash value theft insurance will only reimburse your loss if the utility trailer gets damaged or lost due to theft. On the other hand, replacement cost theft coverage will reimburse and give you the chance to buy a new utility trailer. 

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Utility Trailer Insurance Cost 

The insurance rate for a utility trailer depends on multiple factors. The insurance agent from your insurance provider of choice will often review the make and model of the utility trailer, its annual mileage, and its primary use to determine your custom rates. The latter will also vary depending on the trailer's cargo weight and the type of materials hauled. 

The average utility trailer insurance cost is between $800 per year or $66.67 per month for a $1 million liability coverage.  The disparity with this figure is likely since trailers are relatively confusing to insure. This is because these utility trailers come in all shapes and sizes.

Take a look at this table that shows the rates of the best utility trailer insurance companies:


Cost per MonthCost per YearBest for
CoverWallet$25.67$308.04Utility trailer insurance quotes comparison online
NEXT$27.88$334.56Fast general liability insurance; Utility trailer rental or leasing businesses
CommercialInsurance.Net$27.88$334.56Comparing utility trailer insurance quotes over the phone
Thimble$31$372Utility trailer insurance with quick refunds
Progressive$33.83$406Utility trailer insurance with discounts and add-ons
State Farm$34.75$417Customers seeking to connect with local representatives
USAA$35.50$426Customers affiliated with the U.S military
Allstate$47.08$565Numerous discounts
Geico$97.33$1,168Theft coverage for utility trailers

How to Get Cheap Utility Trailer Insurance Quotes?

There are a few ways to ensure you get cheap utility trailer insurance quotes. The first is to ensure that all drivers in charge of your utility trailer are above 25 years of age and that each of them has a valid driver's license.

You also want to ensure that your utility trailer is only used within what is considered safe locations or where fewer accidents have been reported. The idea is to find loopholes within your policy contract that would allow you to get a discount. 

As you shop for the utility trailer insurance policy, we advise you to contact local independent insurance agents within your network. These independent agents provide you with all the information that you need to arrive at an estimated premium. Besides, they could come in handy when it comes to sourcing for utility trailer insurance quotes from several different reputable insurance companies. 

Before contacting a provider, be sure to have information on your trailer type, its actual or estimated value of your trailer and how and when you intend to use it. This information helps you get a better picture of the costs that you expect to pay for utility trailer insurance. 

Overall, regardless of the cost, you end up being charged, you want to remember that utility trailer insurance will protect what is likely a significant financial investment. 

Compare Cheap Utility Trailer Insurance Quotes Online

Get all the best quotes from leading providers in a click of a button!

Best Utility Trailer Insurance Companies 

Many own utility trailers today. The sheer breadth of this market segment has resulted in multiple utility trailer insurance providers entering the market. Here's a breakdown of the best utility trailer insurance companies. Read to know their pros, cons, and pricing for a $1 million general liability coverage. 

 

CoverWallet Utility Trailer Insurance

Pros

  • Compare insurance quotes for your utility trailer online

  • Covers different kinds of utility trailer businesses

  • Online policy management

  • Cancel a policy anytime 

Cons

  • Not an insurance company but an insurance broker 

CoverWallet covers utility trailers used commercially through its commercial truck and trailer insurance program. Policy options are general liability and commercial auto insurance. 

Note that this company has an online quotes comparison platform you can use to find other companies that sell tailored coverage for utility trailers. 

Best for: Utility trailer insurance quotes comparison online

Average cost: $25.67 per month

Our rating: 10/10


CommercialInsurance.Net Utility Trailer Insurance 

Pros

  • Compare quotes over the phone

  • Coverage highly tailored to your needs

Cons

  • You need to call to get a quote 

You need to call a representative of this company to know if your utility trailer can get covered. If it does, insurance policies you can avail for your utility trailer are equipment breakdown, liability, physical damage, and theft insurance. 

If ever it can’t cover you, CommercialInsurance.Net will take you to its partners who can provide coverage. Call CommercialInsurance.Net now to compare quotes over the phone. 

Best for: Comparing utility trailer insurance quotes over the phone

Average cost: $27.88 per month

Our rating: 10/10


NEXT Utility Trailer Insurance

Pros

  • Best overall

  • Issues an online proof of insurance you can easily show to anyone

  • Fastest GL online

  • Great customer service and reputation

  • Outstanding value for money

  • Bundle two or more policies and get a 10% discount 

Cons

  • Doesn’t underwrite its own utility trailer insurance; only sells it

  • Only covers utility trailers for-rent or lease

NEXT provides coverage if you rent or lease utility trailers. Business insurance policies you can avail for your utility trailer business are general liability, commercial property, workers compensation, and more. Note that coverage for utility trailer rental or leasing businesses is offered in partnership with CommercialInsurance.Net. 

Best for: Fastest general liability insurance; Utility trailer rental or leasing businesses

Average cost: $27.88 per month

Our rating: 9/10


Thimble Utility Trailer Insurance

Pros

  • Fast online quotes

  • Responsive customer service

  • Cancel your policy and get a quick refund

Cons

  • Doesn’t sell trailer interchange insurance for utility trailers

Thimble sells equipment insurance in partnership with CommercialInsurance.Net. You can get $2,500-$10,000 physical damage coverage. Theft coverage is capped at $3,000. Note that deductibles may apply. 

Best for: Utility trailer insurance with quick refunds

Average cost: $31 per month

Our rating: 9/10

 

Utility Trailer Insurance Geico 

Pros

  • Utility trailers are towable by Geico 

  • Second-lowest average rates as compared to the other utility trailer insurance companies on the list 

  • Lowest rates for drivers with poor credit 

  • Customers with previous speeding tickets might find a moderate break with Geico 

Cons

  • Enhanced utility coverage is not available in Hawaii, Massachusetts, Michigan, and North Carolina 

  • Customer service is lacking once you actually file a claim 

  • Utility trailer insurance is not available in all states 

  • The personal policy doesn't allow you to rent out your utility trailer

Geico is the country's second-largest insurance company. Its popularity is likely due to the low rates offered by the insurer and the idea that by buying utility trailer insurance from Geico, you will be saving a lot of money on auto insurance. The company, initially founded in 1936, Geico, was specifically created to provide auto insurance for federal employees and military members at a significantly reduced rate. Since then, Geico has expanded its customer base as well as the types of motor vehicles. 

Geico utility trailer insurance coverage includes:

  • Total loss replacement

  • Replacement cost personal effects

  • Vacation liability

  • Recreational vehicle medical payment coverage

  • Special windshield deductible 

  • Emergency expense coverage 

 

Geico encourages customers to get in touch with them when it comes to the average cost of utility trailer insurance. A search online of Geico's average annual rate is $1,168. This value will be lower or higher depending on the specifics of your utility trailer. 

Best for: Theft coverage for utility trailers

Average cost: $97.33 per month 

Our rating: 9/10

 

State Farm Utility Trailer Insurance 

Pros

  • Personalized service from over 19000 agents distributed nationwide 

  • State Farm is the largest auto insurance provider in the United States 

  • Prompt and reliable claim handling 

  • Customers are eligible for 24/7 roadside assistance coverage 

Cons

  • State Farm offers gap insurance 

  • Some states aren't covered 

  • Strict coverage limits 

State Farm is a well-established insurer in the United States, offering its auto insurance policy in a total of 33 states. If you prefer the convenience of managing your insurance policy online, State Farm is your insurer. 

You will pay $417 per year for minimum utility trailer insurance coverage. On the other hand, a full-coverage policy will cost you $1,045 per year. Some of the discounts you might get include:

  • Accident-free discount 

  • Defensive driving discount for drivers that have a safety certificate 

  • Bundle policies in that if you have several policies together 

  • Discounts if you go three years or more without an at-fault accident 


Best for: Customers seeking to connect with local representatives

Average cost: $34.75 per month 

Our rating: 9/10

 

USAA Utility Trailer Insurance 

Pros

  • Top-notch customer service

  • First-time drivers and new utility trailer owners can be covered

  • Cheap rates 

  • High ratings for claims satisfaction 

Cons

  • Limited coverage to only individuals affiliated with the U.S military

  • Drivers with leased utility trailers are not covered

  • No discounts offered 

USAA is a great option for young drivers with a utility trailer. Besides the exceptionally low prices, the policy is particularly desirable for drivers who plan to store their utility trailers for an extended period. 

Note that USAA has a strict eligibility requirement. In fact, only two groups of people can purchase a policy from the insurer. Specifically, only people who have served in the military and those whose direct family members have had USAA insurance. 

A great benefit of the utility trailer policy from USAA is that you can add on coverage purchased separately from auto insurance policies. For instance, you can add valuable personal property insurance, which protects any valuables being hauled in the utility trailer. You can also get umbrella insurance which protects you from all liability claims and lawsuits that go beyond the limits of your utility trailer insurance. 

As it pertains to the pricing, USAA encourages you to get in touch to get a custom quote. 

Best for: Customers affiliated with the U.S military 

Average cost: $35.50 per month 

Our rating: 8/10

 

Progressive Utility Trailer Insurance

Pros

  • Customizable specialty products

  • Provides several discounts

Cons

  • Utility trailer insurance is less comprehensive than those of  similar competitors

  • A number of negative online feedback 

Progressive was founded in 1937 and so far has over 23 billion in written premiums. It stands as the third-largest U.S-based insurer, backed by the solid financial strength and vast industry experience. 

The basic coverage from Progressive can be purchased for as little as $406 per year. You will be able to secure several discounts, including for safe drivers, original owners, and renewal of policies without at-fault claims. 

Progressive utility trailer insurance makes provisions for policy extension. You can include personal property coverage that includes coverage for all personal effects within the utility trailer. You can also include ancillaries and attachments coverage which covers all attached components in the event of bad weather. You want to have an extensive conversation with the provider to understand how much of your attachments will be covered. 

Best for: Utility trailer insurance with discounts and add-ons

Average cost: $33.83 per month 

Our rating: 8/10


Allstate Utility Trailer Insurance   

Pros

  • Rated A+ by A.M. Best 

  • Works with a large network of independent insurance agents 

  • A diverse portfolio of utility trailer insurance products

  • Numerous discounts offered 

  • 24/7    customer service, including over the phone, online, and on their official application 

Cons

  • Twice the average customer complaints 

Allstate is a countrywide insurer with representatives in all 50 states, including Washington, D.C. With its significant financial stability, Allstate does not rely on third-party underwriting for its policies. The insurer brings with it over 80 years of experience in addition to strong customer service. 

Allstate offers utility trailer owners a number of discounts, including:

  • 10% off if   you purchase your policy at least 7 days before it  goes into effect

  • 10% off for switching to the Allstate policy

  • 5%  off for enrolling in automatic payments 

  • Up to 20%  off if you have no recent insurance claims 


The average minimum coverage utility trailer insurance costs about $565 per year, with the full coverage policy going for $1,674 per year. Still, the insurer insists that this premium might vary depending on location, coverage level, and personal factors

Best for: Numerous discounts 

Average cost: $47.08 per month 

Our rating: 7/10


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