What type of insurance is essential for tanker operations?

Liability insurance is crucial for tanker operations because it provides coverage for damages resulting from accidents or spills that may occur while transporting hazardous materials or any cargo. Tankers, due to the nature of the products they carry, have an increased risk of environmental damage and public safety incidents. In the event of an accident, liability insurance helps cover legal claims, medical expenses, and damages to third parties, ensuring that the carrier meets its financial obligations and protects its assets.

While property insurance is beneficial, it mainly protects the transport vehicle against damage rather than liabilities incurred from transporting hazardous materials. Comprehensive cargo insurance provides important protection for the cargo itself, but does not address the liabilities that might arise from accidents during transportation. Health insurance for tanker drivers, while essential for their personal well-being, does not specifically pertain to the operational risks associated with tanker trucking. Thus, liability insurance is the most critical type for managing risks in tanker operations.