How to Protect Your Car: A Step-by-Step Guide to Auto Transport Insurance and Claims

This guide will walk you through the key aspects of auto transport, from verifying your carrier to the critical steps you must take at the moment of delivery to protect your claim.

Understanding Auto Transport Insurance

The most important thing to know is that your personal auto insurance may not cover damage incurred during transport. The responsibility for your vehicle’s safety during transit falls on the carrier’s insurance. This is a specialized policy that protects the vehicle against damages that may occur during transit, including physical damage, theft, and vandalism.

However, it’s important to remember that these policies have limits and may not cover everything. For instance, they typically do not cover:

• Pre-existing damage: Any dings, scratches, or mechanical issues present before the vehicle was loaded.
• Personal items: Items left inside the car are generally not covered.
• Acts of God: Damage from natural disasters like hurricanes or earthquakes may not be included, depending on the policy.

Before you book, always ask the transport company for a copy of their insurance policy and read it carefully. Verify the coverage limits to ensure they are sufficient for the value of your vehicle.

Step 1: Verify the Carrier’s Legitimacy with the FMCSA

Before you hand over your keys, it’s vital to vet the carrier you’ve chosen. The Federal Motor Carrier Safety Administration (FMCSA) is a federal agency that regulates the trucking industry. The FMCSA maintains a database of all registered carriers, their safety records, and insurance status.

How to check a carrier’s FMCSA record:

1. Go to the FMCSA’s SAFER website.
2. Use the “Company Snapshot” tool to search for the carrier by their USDOT number, MC/MX number, or company name.
3. Review their record, which includes their operational status, safety rating, crash history, and insurance information. An “ACTIVE” status is a good sign, while “OUT-OF-SERVICE” or “NOT AUTHORIZED” are red flags.

This simple step provides peace of mind and confirms that the carrier is a legitimate and insured entity.

Step 2: The Bill of Lading – Your Legal Blueprint

The Bill of Lading (BOL) is a critical legal document in the auto transport process. It serves as a contract, a receipt, and an inspection report all in one. The BOL is filled out and signed at two points:

• At pickup: The driver will inspect the vehicle with you (or your designated representative) and note any pre-existing damage, such as scratches, dents, or other imperfections. This is your opportunity to ensure all existing damage is accurately recorded.
• At delivery: You will inspect the vehicle again and compare its condition to the initial report.

The BOL is your most powerful piece of evidence in the event of a damage claim.

Step 3: The Delivery: A Moment of Critical Inspection

When the driver arrives with your vehicle, the moment of delivery is not a time to rush. This is when your meticulous inspection and documentation will pay off.

Here’s a step-by-step guide to a professional delivery inspection:

1. Do not let the driver leave before you inspect the vehicle. Politely but firmly insist on a full walk-around.
2. Inspect in good light. If it’s dark, use a flashlight or your phone’s light to examine every surface.
3. Compare the vehicle’s condition to the Bill of Lading. Go over the vehicle with a fine-tooth comb, checking for any new damage that was not noted on the pickup BOL. Pay close attention to bumpers, doors, fenders, and the roof.
4. Document any new damage immediately on the Bill of Lading. Be specific and detailed. For example, instead of writing “scratch,” write “New 2-inch scratch on the rear passenger-side door.”
5. Take photos and video. Take clear, time-stamped pictures and video of the new damage. Take wide shots to show the context and close-ups to show the detail. Crucially, if the driver agrees the damage is new, take a picture of them pointing at it. This provides undeniable evidence that they acknowledged the damage at the time of delivery.
6. Both you and the driver must sign the Bill of Lading at delivery. This signature confirms that you both agree on the vehicle’s condition at that moment. If you find new damage, do not sign the BOL without noting it. Signing a clean BOL without noting damage can severely weaken or even void your claim.

The Claims Process: What to Do Next

Once you have documented the damage on the BOL and taken photographic evidence, you can proceed with the claim. Remember, you are working with the carrier’s insurance, not your own.

• File the claim immediately: Most carriers have a very limited window for filing a claim, often 24 to 48 hours.
• Gather all documents: You will need your copy of the Bill of Lading (with the noted damage), your pre-shipment photos, and your new photos and videos.
• Contact the carrier’s insurance provider: The carrier or the broker will provide you with the information for their insurance company. You will submit your claim directly to them.

The carrier’s insurance is the one that covers you, not your own. Your trusted broker is here to guide you through this process, but the responsibility of a proper, documented claim falls to you at the moment of delivery. Following these steps will dramatically increase your chances of a successful and timely resolution, ensuring your vehicle is repaired and you are not left with high damages to pay for yourself.