Quick Answer: Vermont follows federal FMCSA minimums. Workers' comp is mandatory for all employers. Vermont is one of the few states with mandatory UM/UIM coverage — you cannot opt out. Small state with limited insurer competition.
Vermont Trucking Insurance Requirements
Interstate carriers need $750,000 BIPD for general freight, $1,000,000 for hazmat, $5,000,000 for explosives. Most underwriters write at $1M minimum.
The Vermont Agency of Transportation (VTrans) and the Department of Motor Vehicles regulate motor carriers. Vermont doesn't have a separate PUC for motor carriers. Intrastate requirements follow federal standards.
Workers Compensation for Trucking in Vermont
Vermont requires workers' comp for all employers with one or more employees. No exceptions. Vermont uses NCCI for classification and rating.
WC premiums in Vermont are above average — $5,000–$9,500 per driver annually. Higher medical costs and limited market competition in the state affect pricing.
Additional Coverage Requirements
Vermont mandates UM/UIM coverage on all motor vehicle policies, including commercial vehicles. You cannot reject it. UM/UIM must be included at limits equal to your liability limits (unless you specifically request lower limits, which still must meet statutory minimums). This is one of only a handful of states with a true UM/UIM mandate.
No PIP or no-fault requirements — Vermont is a tort state.
What Truck Insurance Costs in Vermont
Single-truck operations in Vermont pay $9,000–$15,000 annually. The mandatory UM/UIM coverage adds to premiums. Limited insurer competition (Vermont's small market means fewer carriers write trucking policies here) can push rates higher than neighboring states. New authorities: $12,000–$19,000.
I-89 (Burlington to Montpelier to New Hampshire), I-91 (along the Connecticut River — Brattleboro to Newport), and US-7 (western Vermont) are the primary routes. Vermont has strict truck weight limits on many state roads during spring thaw ("mud season").
Vermont Trucking Industry Overview
Vermont's trucking industry is small and serves the state's dairy farming, maple syrup production, quarrying (granite, marble), and ski resort logistics. Burlington is the primary distribution point. Many Vermont businesses rely on trucking from Boston, Albany, and Montreal distribution centers. Cross-border freight with Quebec (via I-89 and I-91) is significant.
Contact VTrans at (802) 828-2657 or visit vtrans.vermont.gov for motor carrier information.
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