Car Shipping Insurance Guide

Is My Car Insured During Shipping?

Yes. Every vehicle shipped through a licensed auto transport carrier is covered by insurance during the entire transport process — from the moment it is loaded onto the carrier until it is unloaded at the destination.

The Federal Motor Carrier Safety Administration (FMCSA) requires all licensed carriers to maintain cargo insurance as a condition of their operating authority. This is not optional. A carrier cannot legally operate without it.

Bold Auto Transport goes a step further. On top of the carrier's required insurance, every Bold shipment includes supplemental full coverage insurance with a $0 deductible at no extra charge. This means you are protected by two layers of coverage, and if a claim is filed, you pay nothing out of pocket.

This double coverage is not standard in the industry. Most brokers either charge extra for supplemental insurance, include deductibles of $250-$500, or rely solely on the carrier's base policy. With Bold, full protection is included from the start.

Types of Auto Transport Insurance

There are three types of insurance that may apply when you ship a vehicle. Understanding the difference between them helps you know exactly where you stand.

What Is Covered by Car Shipping Insurance?

Auto transport insurance covers physical damage to your vehicle that occurs during the shipping process. This includes damage during loading, while in transit, and during unloading. Specifically:

What Is NOT Covered?

There are specific exclusions that every car shipper should know about before pickup day:

The single most important thing you can do to protect yourself is inspect the vehicle carefully at delivery and note any new damage on the Bill of Lading before you sign it. Once you sign a clean BOL, filing a claim becomes significantly harder.

Bold's $0 Deductible Advantage

The deductible is the amount you pay out of pocket before insurance kicks in. In the auto transport industry, most companies include deductibles ranging from $250 to $500. Some budget brokers have deductibles as high as $1,000.

Here is why that matters — and why Bold's $0 deductible makes a real difference:

Real-World Claim Scenarios

Notice the pattern: on smaller claims — which are the most common type of transport damage — a $500 deductible means you absorb the entire cost yourself. A $300 scratch repair? A competitor's insurance pays nothing. You are stuck with the full bill. With Bold, every dollar of covered damage is paid by insurance from the first dollar.

This is included free on every Bold shipment. There is no checkbox, no upgrade fee, and no fine print. When you book with Bold, $0 deductible coverage is active from the moment the carrier loads your vehicle.

How to File a Claim if Your Vehicle Is Damaged

Transport damage is rare, but it can happen. If your vehicle arrives with new damage, here is the exact process to follow:

The key to a smooth claim is documentation. Your pickup photos, the pickup BOL, the delivery BOL with damage notes, and your delivery photos create an undeniable chain of evidence. This is why we emphasize photo documentation at every stage.

How to Protect Your Vehicle During Shipping

Insurance is your financial safety net, but prevention is always better than a claim. Here is what you should do to minimize risk and protect your vehicle throughout the shipping process:

• Take timestamped photos before pickup — Photograph every angle of your vehicle including close-ups of any existing damage. These serve as your baseline comparison at delivery. See our preparation checklist for the full photo guide.
• Document existing damage on the pickup BOL — Walk around the vehicle with the driver and make sure every existing scratch, dent, and mark is noted on the Bill of Lading. If a mark exists and it is not on the BOL, it could be mistaken for new transit damage.
• Be present at both pickup and delivery — Or have someone you trust there on your behalf. The inspection process is the most important moment in the entire shipment. Rushing through it or not being there creates risk.
• Review the BOL carefully before signing — At delivery, compare the vehicle's condition to what was documented at pickup. Look at every panel, the roof, wheels, mirrors, and glass. Take your time. The driver will wait.
• Remove loose accessories — Bike racks, removable spoilers, aftermarket antennas, and toll transponders should be taken off before transport. Loose items can move, scratch surfaces, or get damaged themselves.
• Choose enclosed transport for high-value vehicles — If your car is worth over $50,000 or has special sentimental value, enclosed auto transport provides complete protection from weather, road debris, and UV exposure.

Common Insurance Mistakes to Avoid

These are the mistakes we see most often from customers who ship with other companies and then contact Bold after a bad experience:

• Assuming personal auto insurance covers transport — It usually does not. Do not skip carrier insurance because you think your own policy has you covered.
• Not reading the deductible — A $500 deductible on a $400 scratch means insurance pays nothing. Always ask about the deductible before booking.
• Signing a clean BOL when damage exists — Once you sign the delivery BOL without noting damage, the carrier can argue the damage was pre-existing. Always inspect before signing.
• Waiting too long to report — Most insurance policies require claims within 24-48 hours of delivery. Waiting a week to report damage will likely result in a denied claim.
• Not taking photos — Without before-and-after photos, your claim relies entirely on the BOL documentation. Photos provide undeniable evidence that strengthens your position.
• Leaving valuable items in the car — Personal belongings are not covered. Ever. Take everything out before the driver arrives.

How to Verify a Carrier's Insurance

If you are shipping with any company, you have the right to verify that the carrier transporting your vehicle is properly insured. Here is how:

• Ask for the carrier's MC number — Every licensed carrier has a Motor Carrier (MC) number issued by the FMCSA
• Search the FMCSA database — Go to safer.fmcsa.dot.gov and enter the MC number. The carrier's insurance information, including cargo insurance limits and expiration dates, is public record
• Confirm active status — The carrier's operating authority should show "AUTHORIZED" and their insurance should be current (not expired)
• Request a certificate of insurance (COI) — You can request this from the carrier or the broker. It shows the insurance company, policy number, coverage limits, and deductible

When you book with Bold Auto Transport, your coordinator provides insurance documentation with your booking confirmation. You never need to chase down paperwork or verify coverage yourself — it is handled for you.