The incident happened at 7.30 am this morning, Tuesday, November 6, in the Mount Eden area of the town.
John Winton, 51, was also a local fireman.
Police said Mr Winton “died as a result of injuries he sustained in a collision with the refuse collection vehicle he was working on”.
Northern Ireland’s Health and Safety Executive said they are aware of the incident and are making enquiries.
DUP councillor Alan Robinson said he became aware of the tragedy early on Tuesday morning.
“The entire Limavady community is stunned and deeply saddened for the deceased, his grieving family, friends and all involved,” he said.
“I trust that the family will be given space to find time to come to terms with the loss of someone they loved dearly.”