Getting dealer floorplan insurance is easier than most dealers think. You complete a straightforward online application, we review it and come back with a decision and an indication quote that includes the Daily Rate. If everything looks good, you just provide your loss run history and we bind coverage. No mountains of paperwork, no endless back-and-forth.
This guide walks you through exactly what to expect — and shows just how simple the process really is.
What Is Dealer Floorplan Insurance?
Dealer floorplan insurance provides physical damage coverage for dealership inventory that is financed through a floorplan lending arrangement. When a dealer uses a floorplan lender to purchase vehicles or equipment for resale, the lender retains a financial interest in that inventory until it is sold. The lender requires proof that the inventory is insured against physical damage — theft, fire, collision, weather events — so that if a unit is destroyed before it is sold, the lender's collateral is protected.
Most dealers also need open lot coverage for inventory they own outright — trade-ins, cash purchases, and units not tied to a floorplan financing agreement. A properly structured program covers both segments seamlessly.
The Application: Quick and Simple
Our online application was designed to be fast and easy. You don't need to gather a mountain of documents before you start — just fill in what you know about your dealership, your locations, and your inventory. Here's what the application asks for:
That's it. No financial statements, no tax returns, no loss runs — not to get started. We just need enough to understand your operation and come back with a quote.
Location Details (Also Simple)
If you operate multiple locations, the application asks for basic details about each one — but it's nothing complicated. For each location, you'll provide:
Physical Address
The street address of each dealership location. That's it.
Total Insured Value (TIV)
A rough estimate of inventory value at each location by category — trucks, trailers, construction equipment, etc. You don't need exact numbers to get started.
Basic Security Info
A few quick questions: Is the lot fenced? What are your operating hours? Is there after-hours security? Just pick from dropdown options — no essays required.
The Daily Rate Option: Pay Only for Your True Exposure
This is where the TrueGuard dealer program separates itself from generic lot policies. Traditional dealer insurance typically charges a fixed premium based on an estimated inventory limit. If you estimate $2 million in inventory and your actual inventory drops to $1 million during a slow season, you are still paying a premium based on $2 million.
Pay Only for Your True Exposure
The Daily Rate plan calculates your premium based directly on your floorplan lender statement — day by day. You only pay for the exact units you carry, maximizing cash flow during low-inventory periods.
When you apply, ask whether the Daily Rate option makes sense for your operation. Dealers with seasonal inventory cycles, auction-driven purchasing patterns, or fluctuating floorplan utilization often benefit significantly. Dealers with stable, consistent inventory levels may find a traditional fixed-limit structure more appropriate.
How It Works: From Application to Bound Coverage
Complete the Online Application
Fill out the straightforward application on our website — dealership info, locations, and inventory values. It takes just a few minutes. No documents needed to get started.
We Decision & Send an Indication Quote
We review your application and come back with a decision and an indication quote that includes the Daily Rate. You'll see your premium structure, deductible options, and coverage details — all before committing to anything.
Provide Loss Runs to Bind
Happy with the quote? Just send over your loss run history (typically 3–5 years) and we bind coverage. Your floorplan lender is listed as loss payee, and evidence of coverage is issued. That's it — you're covered.
Key Coverages to Request
A robust dealer floorplan program goes far beyond basic physical damage. When you apply, make sure the following coverages are included:
False Pretense Coverage
Protects the dealership if you are tricked or scammed out of a vehicle — fraudulent cashier's checks, stolen identities, or unknowingly purchasing a stolen vehicle.
Transit Coverage
Protects inventory while in motion — between auctions, repair facilities, satellite lots, and delivery destinations. Many generic policies exclude or severely limit transit exposure.
Aggregate CAT Deductibles
Caps your total out-of-pocket cost for a catastrophic weather event. If a hailstorm damages 50 trucks, you pay one maximum aggregate deductible rather than 50 individual deductibles.
Impending Damage Coverage
Covers the cost to move inventory to safety when a covered peril — like a hurricane or wildfire — is imminent but has not yet struck.
A Few Tips to Speed Things Up
The application is already simple, but these quick tips can help your indication quote come back even faster:
Use Round Numbers for Inventory
You don't need exact dollar amounts to get an indication quote. Round estimates are fine — we can refine the numbers when you're ready to bind.
List All Locations Upfront
If you operate multiple lots, include them all in the application. It's easier to add them now than to endorse them later.
Have Loss Runs Ready for Binding
You don't need loss runs to apply — but having them ready means we can bind coverage the moment you approve the quote. Request 3–5 years from your current carrier.
Frequently Asked Questions
How long does the application process take?⌄
The online application takes just a few minutes to complete. We typically come back with a decision and indication quote within one business day. Once you approve the quote and provide loss runs, coverage can be bound the same day.
Do I need loss runs to apply?⌄
No. You can submit the application without any documents. We'll provide a decision and indication quote first. Loss runs (3–5 years) are only needed when you're ready to bind coverage.
What is the Daily Rate option?⌄
Instead of paying a fixed premium based on estimated inventory limits, the Daily Rate option calculates your premium based on your actual daily inventory levels pulled directly from your lender statements. You only pay for the exact exposure you have each day.
Can a new dealership get floorplan insurance?⌄
Yes. We work with new and established dealerships alike. Complete the application and we'll let you know your options — it's that simple.
The Bottom Line: It's Easier Than You Think
Getting floorplan insurance doesn't have to be complicated. Complete a simple online application, get a decision and indication quote with the Daily Rate, then provide loss runs to bind. Three straightforward steps — that's the whole process.
TrueGuard specializes in dealer floorplan and open lot programs for truck and equipment dealers across multiple states. Whether you're a franchise truck dealership, an independent dealer, or a heavy equipment operation, we make it easy to get covered.
Want to walk through it live?
Hop on a quick call with Matt Nelson and he'll guide you through the application step by step — no pressure, no obligation. Just answers.
Call Matt at (336) 407-0980
