Leased owner operators usually need non-trucking liability (required by most leases), physical damage on their own truck, and occupational accident coverage. The full package typically runs $4,400 to $7,400 a year, about $370 to $620 a month financed.
Key takeaways
- The carrier's liability and cargo apply only under dispatch.
- Non-trucking liability covers you off dispatch; most leases require it.
- The carrier's policy does not cover your truck. Physical damage does.
- You are not on the carrier's workers' comp. Occupational accident fills that gap.
What the carrier covers and what you cover
Carrier covers, under dispatch
- Third-party liability while hauling their freight
- Motor truck cargo
- On-dispatch accident and claim handling
You cover, per your lease
- Non-trucking liability when off dispatch
- Physical damage on your truck and trailer
- Occupational accident for your own injuries
- Optional: rental reimbursement, roadside
Coverages for leased owner operators
Non-trucking liability Lease required
$600 to $1,080/yrRequired by most lease agreements under FMCSA leasing rules, 49 CFR Part 376. Covers your liability when using the truck for personal use, off dispatch. The NTL guide covers where the carrier's policy stops.
Physical damage Recommended
$2,000 to $3,900/yrCollision, theft, fire, and vandalism on your truck and trailer. Required by your lender if financed; critical even if paid off.
Occupational accident Recommended
$1,200 to $2,400/yrMedical expenses, disability income, and accidental death benefits if you are hurt on the job. The carrier's workers' comp does not cover independent contractors.
Rental reimbursement Optional
Pays for a substitute vehicle while your truck is in the shop after a covered loss, so income keeps moving.
Roadside assistance Optional
Towing, tire changes, fuel delivery, and emergency labor when you are stuck on the shoulder.
What it costs in 2026
| Coverage | Typical annual cost |
|---|---|
| Non-trucking liabilityRequired by most leases | $600 to $1,080 |
| Physical damage5% to 6.5% of truck value; $40,000 to $60,000 truck | $2,000 to $3,900 |
| Occupational accident | $1,200 to $2,400 |
| Full package | $4,400 to $7,400 |
An own-authority operator pays $12,000 to $20,000 a year because they buy primary liability and cargo themselves. Leased, the carrier's policy carries those lines under dispatch, and that coverage stops the moment dispatch ends.
What moves your number
- Truck value
- Operating state
- Driving record
- Limits selected
Who this is for
Independent contractors who own their truck and drive under a carrier's operating authority. This is the most common setup in trucking. If you are weighing your own MC number, compare the own-authority coverage stack first.
- Dry van
- Flatbed
- Reefer
- Tanker
- Auto hauler
- Hotshot
OOIHub is published by Trucking Insurance Services, the agency recommended here.
Guides for leased operators
Frequently asked questions
What is non-trucking liability (NTL)?
Non-trucking liability covers your liability when you use your truck outside the scope of your lease, off dispatch, for personal use. Most lease agreements require it because the carrier's policy, mandated under 49 CFR Part 387, applies only while you are under their dispatch.
Does my carrier's insurance cover my truck?
Usually not. The carrier's primary liability pays third parties while you are under dispatch. It does not cover damage to your own truck or trailer. Physical damage is your responsibility, required by your lender if the truck is financed, and worth carrying even if it is paid off.
What happens if I'm injured and can't drive?
As an independent contractor you are not covered by the carrier's workers' compensation. Occupational accident coverage pays medical expenses, temporary and permanent disability income, and accidental death and dismemberment benefits. It is one of the most overlooked coverages for leased operators.
Does my lease agreement require me to carry insurance?
Most lease agreements require non-trucking liability and often physical damage, sometimes with minimum limits. Driving without required coverage breaches the lease and can end it. Read the insurance section of your lease before your first load.
Do I need coverage during carrier orientation?
It depends on the carrier. Some extend coverage during orientation; others require your own non-trucking liability in place before day one. Confirm with the carrier directly rather than assuming you are covered.