Vehicles that weigh more that 4 tons are termed HGV, which stands for Heavy Goods Vehicles. Another term used for HGV is LGV. These vehicles are used to transport livestock, bulky goods and pallets to different parts of the world (or in the same country). As these vehicles are expensive and also carry large loads that are expensive, it is vital for them to have insurance coverage; this insurance is classified as HGV insurance. It is necessary also because it is a requirement of law that you should have insurance for the vehicle that you are driving on the road.

In the UK, there are about ten to twelve HGVs stolen every day - along with the goods that they carry. So HGV insurance is formulated to protect both the vehicle and the goods against theft or any other unforeseen accident. Along with protection for the owners' investment in the form of the vehicle and the goods, the livelihood of the driver is also safeguarded within the HGV insurance policy.

In the market, the most important types of coverage that usually come with the insurance of the vehicle are goods in transit coverage, public liability coverage and employer's liability coverage.

The goods in transit coverage is sometimes also known as haulage exchange, and it covers goods during their transportation against being stolen, damaged by fire and accidents, and vandalism. Public liability coverage protects the owner of the business from any damages done to the public. Employer's liability provides protection against any damages that occur due to some accident other than road accidents.

It is important that the owner of the vehicle should gain knowledge of rates in the local as well as global markets. As a result of this you may be able to get very good rates, along with some promotional offers. Many companies also provide introductory discounts of a certain percentage for the coverage.

The type of lorry insurance that you purchase depends upon the nature of your business - that is, whether you are hauling goods for yourself or for some other customer. It also depends on your business needs and requirements and the budget that you possess. The cover that you get also depends upon the kinds of locations you visit and the driver you have and the experience he has.

Many reasonable packages are specifically devised with the intent of providing maximum coverage at an affordable cost. Almost all insurance policies, no matter how cheap, provide protection for all the entities mentioned above. The selection of a new vehicle and appointment of a qualified driver also help in keeping your insurance costs down.

Other than the legal obligation of having an HGV insured, there are also some other important reasons for having truck insurance. The knowledge of having the goods in transit insured gives a sense of safety to the customers and they feel comfortable in doing business with you. The greatest advantage of getting insurance is that you are saved from the legal hassle as the insurance company handles the vehicle related legal matters.