Residential Delivery: The Insurance Questions That Actually Matter

 

Regardless of what you drive, it’s about where you deliver.

Dump truck, box truck, pickup and trailer, or a whole fleet. If your routes take you into homes, apartments, or new construction sites, insurance companies want details. The risks are different. The policies have to match.

Why Carriers Get Grilled About Residential Delivery

Residential and new construction delivery are not a problem. They just need the right insurance. Carriers doing these jobs keep neighborhoods, remodels, and new builds moving. If you don’t spell out the “where,” you’re either wide open or stuck with exclusions you never saw coming.

Here’s what we are asking every application right now:

• Do you deliver to residential addresses?  If yes:
• What percentage of your work is residential delivery?
• How much is new construction delivery?
• Any final mile or direct-to-customer stops?

It’s not about what you drive. It’s about where you deliver.

What Counts as Residential Operations?

Residential exposure is more than just leaving a box on a porch. Here’s what falls under this bucket:

• Final mile. That last stretch from a warehouse or terminal to a home or apartment.
• Less-than-truckload (LTL). Multiple shippers’ freight, often with some residential stops.
• White glove service. Unpacking, assembly, or installation inside the customer’s home.
• Dump operations. Dropping gravel, mulch, or materials at homes, driveways, or new builds.
• Rented or leased equipment delivery. Placing lifts, mini-excavators, or dumpsters at private residences or small jobsites.
• Household goods movers. Full-service moves or partial hauls into houses, condos, or apartments.

If your work hits any of these, you’re in residential territory. Your policy needs to fit.

Why Insurance Carriers Ask

Carriers and underwriters ask about residential and new construction work because the coverage has to be specific. Not every policy protects you on private property. Not every carrier wants this exposure.

Residential delivery comes with more property claims. That could be scraped driveways, damaged landscaping, or injuries on-site. New construction brings muddy lots, tight access, unfinished roads, and a rotating cast of contractors and homeowners. White glove and installation services add another layer, since you’re handling, assembling, or moving customer property inside their home.

If you can’t break out the percentages, underwriters get nervous. That often means higher premiums, exclusions for residential or new construction stops, or even a decline.

Where Does Motor Truck Cargo Coverage Stop?

Here’s what most carriers miss. Your motor truck cargo policy is designed to protect the shipper’s freight while it’s in your care, custody, and control. That means from the moment you take possession until you deliver it to the intended recipient.

When does coverage start?

• When you take physical possession of the cargo at the origin point.
• It includes the entire trip, plus normal stops like meals, fuel, or overnight rest.

When does coverage end?

• When you deliver the load at the final destination and the designated party accepts it.
• Once the cargo is off the truck and accepted, your cargo policy is done.

If you unload the freight and leave it on a driveway, jobsite, or inside a home before the customer officially accepts it, coverage might still apply, but only until the consignee signs off or takes responsibility. After that, it is not your problem or your policy.

What is not covered after delivery?

• If the freight is damaged, lost, or stolen after delivery and acceptance, it is no longer your cargo policy. That is when other policies come into play.
• General Liability (GL) covers you if your team causes property damage or injury while delivering or installing freight. If you scratch floors, break a window, or drop something that injures someone, GL is what you need.
• Homeowners or renters insurance covers the property owner after you have delivered and left. Any damage or theft is usually on their policy. But if there is a dispute, they can still come after you. That is why having GL is key.

Key points:

• Cargo insurance protects what is on your truck. The second the consignee signs or you finish the drop and leave, your responsibility ends.
• GL insurance fills the gap. If you are handling, installing, or delivering inside the customer’s property, GL pays for accidents that happen during or right after delivery.
• Do not assume you are covered after delivery. If you offer white glove, installation, dump operations, or leave freight anywhere but the dock, make sure you have GL, not just cargo coverage.

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How General Liability Fills the Gap in Residential and Last Mile Delivery

For a lot of last mile contracts and residential work, General Liability is not just a suggestion. It is a requirement. Your clients and brokers want to see that you carry GL and that you are covered for the hands-on work, not just the trucking part.

Sample certificate language might read:
“General Liability includes appliance installation, disconnection, assembly and does not have any fire or water damage sub-limits. Auto Liability includes damages caused during loading and unloading.”

What does this mean in practice?

• Your client or broker wants to be listed as additional insured on your GL and Auto Liability. This protects them if something goes wrong on the job.
• GL fills the gap where standard trucking policies leave off. If you are installing, assembling, or even disconnecting appliances or equipment, GL pays for damage or injury if something goes wrong.
• No sub-limits for fire or water means you are covered up to your full GL limit, even if you flood a laundry room during an install.
• Auto Liability on its own is not designed to cover property damage once you leave the truck. If the certificate says it does, you need to make sure that is actually true in your policy.

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Why Loading and Unloading Coverage Is So Tricky

Here is where many carriers get tripped up. Clients want Auto Liability to pay for anything that goes wrong while you are loading or unloading, but most auto insurance carriers will not put this in writing.

Why not?

• Auto liability is meant for on-road accidents and the immediate act of getting freight on or off the truck.
• It is not designed to pay for property damage, injuries, or mistakes once you step away from the vehicle.
• If a certificate spells out coverage for “damages caused during loading and unloading,” most auto underwriters will refuse or deny a claim that goes beyond the scope of standard auto coverage.

What should you do?

• Don’t rely on Auto Liability to cover last mile, white glove, or installation claims. GL is where you get the right protection for loading, unloading, assembly, installation, and completed operations.
• If your client demands coverage that your auto carrier cannot provide, explain why you need to meet their requirements through GL, not auto.
• Always have the exact GL requirements spelled out before you start the work.

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How To Get Covered for Residential Delivery

Some carriers and policies are built for this work. Be honest about your routes. Don’t hide or downplay residential or new construction delivery to save money up front. It will cost you later.

What to ask your agent:

• Does my policy include residential delivery in writing?
• Do I need a separate general liability (GL) policy for anything that happens off the truck?
• Are endorsements available for new construction, white glove, or final mile work?
• What is excluded if I cannot break out my percentages?

This applies to dump operations and equipment delivery as well. Any time your truck is dropping materials at a house, a new build, or a jobsite, your policy should actually cover those stops. It should not just cover the truck itself.

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Our Take

Residential delivery and new construction are not high risk. They just require different questions and better coverage. If your routes take you into neighborhoods, up driveways, onto job sites, or inside someone’s home, even once in a while, make sure your insurance matches what you actually do. Don’t rely on what a standard policy says.

Bottom line:
If your business includes residential delivery in any form, don’t settle for “probably covered.” Get it in writing. Know your exposures. Work with agents and carriers who actually understand this side of the business.

Have questions about residential delivery, dump operations, equipment drops, or new construction exposures? Reach out. We have seen every kind of claim and we know how to build coverage that keeps you rolling.

Questions about your coverage for residential delivery, dump jobs, or new construction drops? Email us at info@trucku.biz We’ll review your policy and make sure you’re protected before your next delivery.

Disclosure:

This post is for educational purposes only. It’s not legal advice, insurance advice, or a substitute for calling your agent. We’re good, but we’re not psychic. Policies vary, laws change, and courtrooms get weird. Don’t make decisions based solely on something you read on the internet, unless it’s from us, in writing, with your name on it. 

All opinions are our own and do not represent the views of any carrier, employer, or underwriting department that occasionally wishes we were quieter on LinkedIn.