TL;DR: Trailer interchange coverage pays for physical damage to trailers you do not own while hauling them under a written interchange agreement, such as UIIA drayage or power-only freight. Pick a limit high enough for the trailers you pull. Without a written agreement, you may need non-owned trailer coverage instead.
What does trailer interchange coverage do?
It insures other people's trailers while they are in your possession under a written interchange agreement. Pull a container chassis from a pool, a shipper's drop trailer, or a power-only load, and you are contractually responsible for that equipment while you have it, hooked or dropped. If the trailer burns, is stolen, or gets damaged, trailer interchange pays the owner for repair or replacement, up to the limit you selected, minus your deductible. It is physical damage coverage for non-owned trailers, triggered by a contract.
When does a trucker actually need it?
Whenever a written agreement makes you responsible for someone else's trailer. The classic cases: intermodal drayage under the Uniform Intermodal Interchange Agreement, known as UIIA, power-only freight where you supply the tractor and the broker or shipper supplies the trailer, drop-and-hook networks with equipment pools, and interline arrangements between carriers. Equipment providers check your certificate before granting interchange privileges, and UIIA participation has its own insurance requirements that your certificate must match.
How is trailer interchange different from non-owned trailer coverage?
The trigger. Trailer interchange requires a written interchange agreement and covers the trailer whether attached to your tractor or not. Non-owned trailer physical damage covers a trailer in your care without an interchange agreement, but typically only while it is attached to your power unit. Many power-only and drayage operations need the first; occasional pullers of someone else's trailer may get by with the second. Buying the wrong one leaves a gap exactly when a dropped trailer gets hit in a yard.
| Feature | Trailer interchange | Non-owned trailer coverage |
|---|---|---|
| Written interchange agreement | Required | Not required |
| Trailer attached to your tractor | Covered attached or dropped | Usually attached only |
| Typical user | Drayage, power-only, drop-and-hook | Occasional non-owned trailer use |
What limit should I carry?
Enough to replace the most expensive trailer you touch. Common limits run from $20,000 to $75,000 or more, and reefers, new dry vans, and specialized chassis sit at the top of that range. The interchange agreement or the UIIA schedule often states the minimum the equipment provider expects. Set the limit below replacement cost and the difference comes out of your pocket, because the trailer's owner will bill you for the full repair or value.
What conditions and exclusions matter?
Read for the same traps as any physical damage form. Deductibles apply per trailer, which matters when a storm sweeps a yard. Theft coverage may carry security conditions for dropped trailers. Tires and wear are excluded as maintenance. Loss of use claims, the owner billing you for rental income while the trailer is repaired, may or may not be covered, and chassis pools do bill for downtime. And the coverage follows your responsibility under the agreement, so know what the agreement makes you liable for, including damage discovered at interchange inspections.
How does this interact with my other coverages?
Liability for what the trailer does to others, in a crash for example, rides with your primary auto liability, not trailer interchange. Damage to freight inside the trailer is your motor truck cargo coverage. Your own trailers are scheduled under your physical damage coverage. Trailer interchange fills the one hole those three leave: the borrowed trailer itself. A power-only operation without it is running someone else's asset bare.
Real questions drayage operators and power-only fleets ask
Do I need trailer interchange for power-only loads?
Almost always yes. Power-only agreements make you responsible for the provided trailer, and brokers require trailer interchange coverage, commonly at limits between $20,000 and $50,000, before dispatch. Check whether the agreement demands coverage for dropped trailers, not just attached ones.
What limit does UIIA drayage work require?
The UIIA and individual equipment providers set the insurance schedule, and requirements vary by provider. Your certificate must match the UIIA's current requirements before interchange privileges activate. Confirm the exact trailer interchange limit with the UIIA schedule rather than assuming a number.
Does trailer interchange cover the freight inside the trailer?
No. Freight is covered by your motor truck cargo policy. Trailer interchange pays only for physical damage to the non-owned trailer itself, repair or replacement up to your limit. A single incident can trigger both coverages, each handling its own piece.
Is a dropped trailer covered, or only while I am hooked to it?
Under trailer interchange, the trailer is covered while in your possession under the agreement, attached or dropped. Under non-owned trailer physical damage, coverage usually applies only while attached to your tractor. This is the key difference between the two coverages.
Who pays when the trailer owner bills me for loss of use?
Only your policy's terms answer that. Some trailer interchange forms include loss of use, meaning the owner's downtime or rental charges after covered damage, and some exclude it. Chassis and trailer pools do send those bills, so ask before you need the answer.
Why truckers work with Morrow
- We know the filings. Morrow sets trailer interchange limits to match UIIA and power-only requirements so equipment providers accept your certificate the first time.
- New authority is our normal. First-year carriers pay the most and get declined the most. We work with markets that actually want new ventures and we tell you what the first renewal takes.
- Certificates and filings, fast. Certificates of insurance the same business day for most carriers, and federal or state filings submitted electronically so your authority is not sitting in a queue.
- We quote the whole picture. Liability, cargo, physical damage, and the endorsements shippers and brokers actually check for, priced together so nothing is missing when a load is on the line.
- Real people when something goes wrong. A claim, a lapse notice, or a lost certificate gets a person, not a portal.
Related trucking guides
Short answers to the surrounding questions truckers ask next.
- Trucking insurance at Morrow (start here)
- Non-owned trailer coverage
- Physical damage coverage for trucks
- Motor truck cargo insurance
- Primary auto liability for truckers
- Certificates of insurance for truckers
- Commercial auto for trucking fleets
This guide is general information, not legal, tax, or insurance advice. Limits, forms, and deadlines change, so verify current requirements with your state insurance department before you rely on them. Morrow is a brand name of Afthonea Inc. Last updated: July 2026.