Understanding Non-Trucking Liability (NTL) vs Bobtail Insurance: What’s the Difference?

Daniel Hernandez
4 days ago
2 min read

Insurance can be one of the most confusing parts of trucking, especially when it comes to policies that seem to overlap. Two common coverages that often get mixed up are Non-Trucking Liability (NTL) and Bobtail Insurance. While they may sound similar, they serve different purposes and apply in different situations. Choosing the right one can make a big difference in coverage, cost, and claim outcomes.

What is Bobtail Insurance?

Bobtail insurance covers your truck when it’s being operated without a trailer, regardless of whether you're under dispatch. This policy is designed to protect you in situations such as:

Driving your truck to or from the terminal without a trailer
Traveling between jobs or while off-duty
Returning from a delivery after dropping a trailer

Bobtail coverage kicks in when the truck is being used for non-cargo purposes without any trailer attached. It is typically required for leased owner-operators and offers protection during those “in-between” times when you’re still driving your tractor but not actively hauling.

What is Non-Trucking Liability (NTL) Insurance?

NTL insurance provides liability coverage for when your truck is being used for personal or non-business use when not under dispatch. Examples include:

Driving to the grocery store
Taking your truck to get serviced
Going home after completing a job

NTL does not cover any activity that could be considered business-related. If you’re using your truck in any way connected to your carrier, even if you're not hauling a trailer, NTL likely won’t apply. It’s specifically for off-the-clock personal use.

Key Differences Between NTL and Bobtail Insurance

Feature	Bobtail Insurance	Non-Trucking Liability (NTL)
Applies when	Truck has no trailer, under or not under dispatch	Truck used for personal use, not under dispatch
Covers	Driving between jobs, post-delivery, terminal trips	Personal errands, off-duty driving
Trailer status	No trailer attached	May or may not have a trailer, depending on the use
Business use?	May cover if truck used for business but no trailer	No business use covered

Do You Need Both?

In most cases, you don’t need both. It depends on your lease agreement and how you use your truck:

If you're leased to a motor carrier and drive without a trailer for business purposes, Bobtail Insurance is likely required.
If you only use your truck for personal driving when off-duty, NTL Insurance might be sufficient.

Always check with your carrier and insurance agent to make sure you're properly covered. Having the wrong policy (or none at all) can leave you on the hook for expensive claims.

Conclusion

Understanding the difference between Non-Trucking Liability and Bobtail Insurance is essential for staying protected on and off the job. While they may sound similar, each serves a specific purpose. Review your daily operations, read your lease agreement, and speak to your insurance provider to make sure you have the right coverage in place.

Meta Description: Non-Trucking Liability (NTL) and Bobtail Insurance sound similar, but they cover different situations. Learn the key differences and how to choose the right policy for your trucking needs.