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Progressive offers tow truck insurance for businesses operating wreckers, rollbacks and flatbed tow trucks. The right coverage depends on the services you provide, the vehicles you operate and the requirements of your customers and contracts.
We are proud to represent Progressive and have worked with them and other tow truck insurance providers for over 10 years. We help towing businesses review coverage, compare premiums and payment options, and identify available discounts.
Starting a towing business or reviewing your current insurance? Request a tow truck insurance quote or call or text (708) 233-4848.
Coverage options · Premium factors · Available discounts · Quote comparison · Fleet-management tools · State insurance guides
Coverage options for your towing business
A towing business may need coverage for its trucks, customer vehicles in transit, vehicles in storage and work performed at the roadside. The combination should reflect your operations and any insurance requirements in your contracts.
| Coverage | What it addresses |
|---|---|
| Commercial auto liability | Covered bodily injury and property damage claims when your business is responsible for an accident involving an insured vehicle. |
| Physical damage | Covered damage to your own tow truck, subject to the comprehensive, collision or other options selected, applicable limits and deductibles. |
| On-hook towing | Covered damage to customer vehicles during a tow, as defined by the policy. |
| Garagekeepers | Covered damage to customer vehicles at an insured storage or service location. Legal-liability coverage generally requires your business to be legally responsible; other coverage options may work differently. |
| General liability or garage liability | Certain bodily injury and property damage claims arising from your business operations beyond driving the truck. The appropriate policy depends on the services you provide. |
Workers’ compensation should be reviewed separately if you have employees. Motor clubs, commercial customers and permit authorities may also require specific limits or insurance documents. Providing those requirements with your quote request helps us review the appropriate coverage.
For additional information, see our tow truck insurance coverage guide and Progressive’s towing coverage overview. Availability depends on your state, vehicles, drivers and operations.
What affects Progressive tow truck insurance rates?
Premiums reflect the business as a whole, including driving records, equipment, services and coverage selections. Common factors include:
- Location and garaging: where trucks are kept overnight and the territory you serve.
- Vehicles and equipment: truck type, age, value and specialized equipment.
- Drivers: experience, driving records and the number of drivers on the policy.
- Services: roadside towing, recovery, repossession, storage and other work performed.
- Use and mileage: operating radius and estimated annual miles.
- Business and insurance history: years in operation, prior coverage, claims and relevant towing experience.
- Coverage: liability limits, deductibles and protection for your trucks and customer vehicles.
Accurate information helps produce a reliable quote. For a new company, the owner’s prior towing experience and insurance history should be considered separately from the business’s start date.
Why can premiums remain high with a clean driving record?
A clean driving record is valuable, but towing carries risks beyond an ordinary commute. Working near traffic, handling customer vehicles and responding to accidents can lead to costly claims. Insurers consider the potential size of a loss as well as driving history.
Broader market conditions also matter. S&P Global’s analysis of 2024 results found that claims and operating expenses exceeded premium income across the commercial-auto market. Its separate analysis of Progressive’s 2024 results reported a profit from commercial-auto insurance operations. These historical findings do not identify towing-only results or determine an individual business’s current premium.
A coverage and discount review can identify available options while keeping the policy aligned with your work. Our tow truck insurance cost guide discusses additional factors to consider.
Discounts and payment options worth reviewing
EFT and automatic payments
Automatic bank payments may reduce both the premium and installment fees. In the sample comparison below, EFT lowered the annual premium from $11,322 to $10,767. The fee on each remaining installment was $12 with EFT, compared with $30 on that quote’s standard payment plan.
Compare payment options using the full schedule, including fees. Available savings depend on the plan and program.
Snapshot ProView
Snapshot ProView uses a device in your vehicle to collect driving information and may offer a participation discount. The sample includes only the initial 5% discount.
April 2026 program information describes the possibility of a higher participation discount, up to 20% for qualifying businesses. Availability depends on the state, vehicle, type of work and program rules. A higher participation discount replaces the initial level; it is not an additional 20% on top of 5%.
The vehicle must be compatible, and the device must be installed and continue reporting as required. Failure to meet participation requirements can remove the discount. Driving data can also increase or decrease the premium at renewal. We review the available discount and enrollment terms for your specific quote.
Continuous insurance and prior auto coverage
Maintaining coverage without a lapse may qualify your business for savings. Illinois program information describes possible savings for a qualifying year of continuous auto liability or physical damage coverage. Prior policy documents are used to verify eligibility.
Personal auto insurance history may also be relevant for a new towing business. It was part of the review in this sample, but it does not always produce a separate discount. Personal and commercial insurance history should be evaluated under the applicable program without double-counting the same coverage.
Multi-Product discounts
Other qualifying business policies, such as general liability, may support a Multi-Product discount. We review existing coverage and documentation to determine whether it meets the program’s requirements.
A workers’ compensation policy alone does not establish eligibility for this discount. Any additional policy should serve a business need, with the combined premium considered as part of the decision. Progressive’s commercial auto discount overview provides additional information.
Paid-in-full and installment plans
The sample comparison below includes a $9,396 paid-in-full premium, compared with the $10,767 EFT installment option. The paid-in-full premium is a separate payment choice, not another discount to subtract from the EFT premium.
Compare paid-in-full and installment options based on total policy cost, payment fees and your business’s cash-flow needs.
A sample quote with a $5,978 lower annual premium
In this example, a review of available discounts and the selection of automatic bank payments, or EFT, reduced the annual premium from $16,745 to $10,767. The difference was $5,978, or 35.7%, before installment fees.
Sample quotes dated October 3, 2026. The comparison uses different payment options and is not a typical rate or a guarantee of savings. Individual premiums vary.
Coverage was not reduced to achieve the lower premium. The driver, truck, garaging address, operating radius, annual mileage, coverage limits and deductibles remained the same. Insured ASAP confirms that the other business details were unchanged. The revised quote reflects the discount review and a different payment option.
Premium and payment comparison
| Premium or payment | Original standard plan | Revised EFT plan |
|---|---|---|
| Annual premium before installment fees | $16,745.00 | $10,767.00 |
| Initial payment | $2,791.40 | $1,076.70 |
| Remaining installments | 10 payments of $1,430.36 | 9 payments of $1,088.70 |
| Fee included in each remaining installment | $35.00 | $12.00 |
| Total payments, including installment fees | $17,095.00 | $10,875.00 |
When comparing quotes, consider the annual premium, installment fees and payment schedule together. A lower initial payment does not necessarily mean a lower total cost.
The revised quote was $11,322 before EFT. Selecting EFT reduced the premium by $555 to $10,767. The original quote also offered EFT at $15,922. Comparing EFT on both quotes gives a premium difference of $5,155, or approximately 32.4%.
Only the initial 5% Snapshot ProView discount is included in the revised quote. A higher discount had not been confirmed and is not included in these savings.
Part 1: Premiums and payment plans
The original standard-payment option is compared with the revised EFT option. Both the annual premium and the installment schedule are shown so the difference in total cost is clear.
Part 2: Matching vehicle and coverage details
Both quotes list the same 2020 Freightliner M2 rollback, garaging ZIP code, 50-mile operating radius and 40,000 to 59,999 annual miles.
Coverage includes a $500,000 combined liability limit for covered bodily injury and property damage, plus $25,000 of on-hook coverage with a $1,000 deductible. The displayed uninsured and underinsured motorist limits also match.
These limits are specific to the sample and may not satisfy your business or contract requirements. The quotes do not show premiums for comprehensive/collision coverage on the tow truck or separate general liability, garagekeepers or workers’ compensation policies.
Part 3: Discounts and insurance history reviewed
The review included the business’s existing policies, prior auto insurance and payment options:
- Multi-Product: qualifying additional business policies.
- Continuous insurance: prior coverage maintained without a lapse.
- Personal auto insurance history: the owner’s prior coverage.
- Snapshot ProView: the initial 5% discount included in the quote.
- EFT: automatic bank-payment savings.
Progressive’s third quote page lists Multi-Product. The remaining items are Insured ASAP’s explanation of the review. Insurance-history considerations can overlap; the list does not represent five separate discounts that can be added together.
Compare your current quote with available coverage and savings. Request a tow truck insurance review.
Snapshot ProView fleet-management tools
Beyond potential insurance savings, Snapshot ProView may provide access to a fleet dashboard on a phone or computer without an additional dashboard charge. The 2026 program information describes access for participating businesses, including small fleets. Availability and device terms should be confirmed for the policy.
- Vehicle location: view a truck’s last reported position. Updates are described as approximately every 30 seconds while the vehicle is running, with possible delays from connectivity.
- Trip history: review routes, vehicle use and unnecessary mileage.
- Geofencing alerts: receive notifications when a truck enters or leaves a designated area, such as your storage yard.
- Driving reports: review hard braking and rapid acceleration to support driver coaching and safety discussions.
These features can support fleet oversight, although location updates and safety outcomes are not guaranteed. The device collects information such as speed, location, trip times and vehicle data. Progressive may use that information for renewal pricing and claims under its terms. Drivers should understand the program before enrollment.
Smart Haul for qualifying operations
Businesses using an electronic logging device, or ELD, may want to review Progressive’s Smart Haul program. It is separate from Snapshot ProView and is available for certain trucking operations.
An ELD alone does not make a towing business eligible. We review the services you provide, your equipment and the program requirements to determine which option may apply.
Tow truck insurance resources by state
State rules, customer contracts and the type of towing you perform can affect your insurance requirements. Explore the guide for your state and include any contract or permit requirements with your quote request.
Illinois operators can also review our Illinois tow truck insurance requirements guide. For additional savings considerations, visit our tow truck insurance discounts guide.
Frequently asked questions
Does Progressive consider new towing businesses?
Yes, eligible new businesses can be considered. Your towing experience, vehicles, drivers, services and prior insurance help determine available coverage and pricing. Approval is not guaranteed.
Is Progressive always the lowest-cost option?
No insurer offers the lowest premium for every business. Compare coverage limits, deductibles, payment fees and the services included in each quote.
Are other insurance options available?
Availability depends on your business and location. In our agency’s experience, some options become more accessible after approximately three years in business with a clean claims history. This is not a requirement shared by every insurer.
Will my premium match the $10,767 sample?
The sample reflects one business and its coverage selections on October 3, 2026. Your vehicles, drivers, location, services and insurance history may result in a different premium.
Does the sample include a 20% Snapshot ProView discount?
No. Only the initial 5% discount is included. Any higher discount must be confirmed before it can be reflected in a revised quote.
Were the coverages changed to achieve the lower premium?
No. The driver, truck, garaging address, coverage limits, deductibles and other business details remained the same. The revised quote reflects a discount review and a different payment plan.
Does on-hook coverage protect the tow truck itself?
On-hook coverage addresses customer vehicles during a covered tow. Physical damage coverage protects your own truck against covered losses. Garagekeepers coverage should also be reviewed if you store customer vehicles.
Request a Progressive tow truck insurance quote
Whether you are launching a towing business or reviewing an existing policy, Insured ASAP can help you compare coverage, available discounts and payment options. Send us your current quote or provide your vehicle, driver and business details to get started.
Request a tow truck insurance quote or call or text (708) 233-4848.
Coverage, discounts and eligibility vary by state, program and business. Policy terms, conditions and exclusions apply. Sample premiums are illustrative and do not guarantee coverage or savings. A quote request, call or text does not bind or change insurance. Insured ASAP is an independent agency that represents Progressive. Progressive and Snapshot ProView are trademarks of their respective owners.
