The short answer
Tow truck insurance usually combines commercial auto liability, on-hook or garagekeepers coverage for customers' vehicles, physical damage on the wrecker and general liability. Coverage for vehicles in your care is the part tow operators most often get wrong.
Who this page is for
Operators of flatbed rollbacks, wheel-lift and integrated wreckers, and heavy-duty rotators doing roadside service, accident recovery, police rotation, impound and repossession work.
Coverage most operators need
| Coverage | Why tow operators need it |
|---|---|
| Auto liability | Required; police rotation lists often set minimums |
| On-hook towing | Damage to a customer's vehicle while being towed |
| Garagekeepers | Damage to customers' vehicles stored at your lot |
| Physical damage | Protects the wrecker or rollback |
| General liability | Lot and roadside operations |
On-hook vs. garagekeepers
On-hook covers vehicles while attached to or carried by your truck. Garagekeepers covers vehicles in your care at your premises. Most tow businesses need both.
Risks underwriters look at
- Roadside work in traffic
- Night and accident-scene operations
- Customer vehicle values
- Storage lot security
- Driver experience
How to get a better quote
- Set on-hook limits that match the vehicles you tow, including heavy-duty work
- Document lot security for garagekeepers pricing
- Keep rotation-list requirements on file for your agent
- Start your renewal 60 days early (renewal checklist)
- Compare quotes line by line (how to read a quote)
- Watch for red flags in a quote
Related reading
Questions truckers ask
What insurance does a tow truck need?
Commercial auto liability, on-hook coverage, garagekeepers, physical damage on the truck and general liability.
What is on-hook towing insurance?
Coverage for damage to a customer's vehicle while it's attached to or carried by your tow truck.
What is garagekeepers insurance?
Coverage for customers' vehicles stored at your lot or premises.
Do police rotation lists require specific insurance?
Often. Ask your local agency for its minimums.
Written by the FairlyCover Editorial Team. This guide explains how coverage generally works. It isn't legal or insurance advice, and your policy wording always decides what's covered. How we write and review content.
