The “Under Dispatch” Gap: The One Time You’re Not Covered and How Bobtail Fixes It.
I Was Between Loads and Not Covered by Anyone.
As an owner-operator, I was driving my tractor (without a trailer) from a delivery drop-off to my home terminal. I was not under dispatch for a new load yet. I was involved in an accident. My motor carrier’s liability insurance denied the claim because I wasn’t hauling a load for them. My personal auto insurance denied the claim because I was operating a commercial vehicle. This terrifying gap is known as “bobtailing,” and a Bobtail insurance policy is the only thing that would have covered me in that specific, disastrous scenario.
Bobtail vs. Non-Trucking: A Simple Guide for Owner-Operators Who Hate Insurance Jargon.
It All Comes Down to the Trailer.
Let’s make this simple. Bobtail insurance covers your tractor when you are driving it without a trailer, whether you are under dispatch or not. Non-Trucking Liability (NTL) covers your tractor only when you are not under dispatch and using it for personal, non-business purposes. The key difference is that Bobtail can still cover you for some business-related driving (like to and from the terminal), while NTL is strictly for personal use.
“I Was Driving to the Terminal and Had an Accident.” Who Pays?
The Question That Defines the Coverage.
This is the classic scenario that separates the two. If you are driving your tractor to the terminal to pick up your next load, you are operating for a business purpose, but you may not be “under dispatch” yet. In this gray area, a Non-Trucking Liability policy would likely deny the claim because it’s not “personal use.” A true Bobtail policy, however, is designed to cover this exact scenario, providing a crucial bridge of coverage between loads.
One Covers You With a Trailer, The Other Only When You’re Without. The Critical Difference.
A Nuance That Matters.
This is a subtle but critical difference. Non-Trucking Liability is often defined as covering you only when you are driving your tractor alone, without a trailer attached, for personal reasons. Bobtail insurance is a broader term that can sometimes provide coverage even if you are pulling an empty trailer, as long as you are not under dispatch for a load. You must read your specific policy language to understand this nuance, as it can be a major factor in a claim.
Don’t Assume Your Motor Carrier’s Liability Covers You 24/7. It Doesn’t.
The Most Dangerous Assumption a Trucker Can Make.
Many new owner-operators make the dangerous assumption that because they are leased to a motor carrier, the carrier’s massive liability policy covers them at all times. This is absolutely false. The motor carrier’s primary liability only covers you when you are “under dispatch,” meaning you are actively hauling a load for them. The moment you are off the clock, you are on your own, and you are legally required to have your own liability coverage in place.
The “Personal Use” Myth: Why Non-Trucking Liability is Essential for Your Days Off.
Using Your Rig to Go to Walmart is a Commercial Risk.
You might think that using your tractor to go grocery shopping on your day off is “personal use.” But your personal auto insurance will not cover an accident in a Class 8 commercial truck. This is the exact scenario that Non-Trucking Liability (NTL) is designed for. It provides the liability coverage you need when you are using your commercial vehicle for non-business, personal errands. It is the essential protection for your life outside of hauling freight.
A Trucker’s Guide to Being Covered, Whether You’re Hauling a Load or a Load of Groceries.
The Three Policies That Create a Seamless Shield.
To be a fully protected owner-operator, you need a trio of policies that work together. 1) Your Motor Carrier’s Primary Liability covers you when you are under dispatch. 2) Your Bobtail or Non-Trucking Liability policy covers you when you are not under dispatch. 3) Physical Damage coverage protects the actual value of your truck and trailer from damage or theft. Together, these three policies create a seamless shield of protection for every minute of your life, both on and off the job.
The Costly Mistake of Confusing These Two Coverages.
A Small Difference in Wording Can Mean a Million-Dollar Difference in Coverage.
Bobtail and Non-Trucking Liability sound similar, but the difference in their definitions can be the difference between a covered claim and a million-dollar lawsuit against you personally. Bobtail is generally a broader, more comprehensive coverage, while NTL is more restrictive. It is absolutely critical that you work with an insurance agent who specializes in trucking to ensure that the policy you buy perfectly matches the requirements of your motor carrier and the realities of your operation.
Why Your Motor Carrier DEMANDS You Have One of These Policies.
They Are Protecting Themselves From Your Risk.
Your motor carrier will not let you operate without proof of either Bobtail or Non-Trucking Liability insurance. Why? Because they know their primary liability policy does not cover you when you’re off the clock, and they don’t want to be dragged into a lawsuit for an accident you have on your personal time. They require you to have this coverage to ensure that there is a clear line of demarcation, protecting their insurance from your personal risks.
Bobtailing Home: The Exact Scenario This Insurance Was Built For.
The Long, Uncovered Journey Back to Your Family.
Imagine you’ve just dropped a trailer in California, and your home is in Texas. You are “bobtailing” it home for a few days off before your next dispatch. That long, multi-state journey is a period of significant risk where you are not covered by your motor carrier. This is the exact scenario that Bobtail insurance was invented to cover. It protects you on that long, lonely, and uninsured drive back to your family.