How are Costs for Auto Transport Determined?

04/01/2014

When shipping a vehicle, some consumers are curious about what are the factors that determine the cost of shipping. There are two types of costs that go into determining the cost of a car shipment: (1) the cost of operating the car carrier that is transporting your car and (2) the overhead costs incurred by the car shipping company . These costs are determined by the following components:

Fuel – Since semi trucks only get 5-7 miles per gallon when loaded with a trailer full of cars, the cost of diesel fuel has a big impact on the total costs of transporting a vehicle.

Truck Payments – A new truck and trailer can cost $150,000 or more. Car carriers must make monthly payments on the loans that most take to purchase their trucks.

Truck Maintenance – As most trucks are driven 100,000 miles or more each year, regular maintenance is important in keeping them in top driving condition. Such maintenance includes oil changes, tune-ups and tire replacements.

Insurance – Car carriers pay to insure their trucks and drivers, just as you do your own vehicle. In addition, it’s legally required that their insurance policy covers the value of the vehicles they are transporting.

Driver Pay & Benefits – Drivers, whether they own their own truck or are employees driving a company truck, must be paid for their time. Most drivers also receive paid benefits like health insurance and retirement.

In addition to the direct costs listed above, car shipping companies also have overhead expenses such as customer service, marketing, rent and more. However, the bulk of the costs are in operating the car carriers. All of these costs factor in to determine the total cost of shipping a car.

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MoveCars.com is a comprehensive online directory of car shipping companies, including enclosed auto transport and international shipping companies. Even before you start looking for a car shipping company, you can find answers to frequently asked questions (FAQs) about car moving, car shipping tips, and a glossary of auto transport terms.