Coverage
Trailer Interchange Coverage
Trailer interchange coverage becomes important when a carrier takes responsibility for a trailer owned by someone else under a written interchange agreement.
Plain-English summary
It may cover physical damage to a non-owned trailer when a written trailer interchange agreement applies.
When this coverage comes up in real operations
Power-only, intermodal, drop-and-hook, and partner trailer arrangements can put a non-owned trailer in the carrier's custody while cargo coverage still only addresses freight.
Agreement details that matter
- Whether the agreement is written
- Trailer value per unit
- Who controls repairs after damage
- Where trailers are stored
- How long the trailer is in custody
A practical example
If a carrier picks up a loaded customer trailer on Friday and parks it at its yard until Monday delivery, the trailer custody period and agreement wording should be clear before a damage claim occurs.
Who usually needs to discuss it
- Power-only carriers
- Intermodal drayage operations
- Carriers using shipper or partner trailers
What it may cover or affect
- Damage to an exchanged trailer
- Certain collision or comprehensive losses
- Specified trailer limits
Where assumptions get expensive
Usually not handled by this alone
- Cargo
- Your owned trailers
- Trailers outside the agreement
Common mistakes
- Assuming borrowed trailers are automatically covered
- Not keeping the agreement available
- Confusing trailer damage with cargo damage
Details to prepare
- Interchange agreement
- Trailer values
- Custody time
- Terminal or yard locations
- Customer certificate wording
Questions for an agent
- Is a written agreement required?
- What trailer limit applies per unit?
- Are unattended trailer losses restricted?
Sources
- Auto Insurance Regulator National Association of Insurance Commissioners — checked 2026-05-19
- Commercial Auto Insurance Educational Insurance Information Institute — checked 2026-05-19
- Insurance Filing Requirements Official Federal Motor Carrier Safety Administration — checked 2026-05-19
Questions carriers ask
Does trailer interchange cover cargo?
No. It concerns the trailer itself, not the freight inside.
Is an agreement important?
Yes. Many forms depend on a written trailer interchange agreement.
Found an error or outdated source? Submit a correction.