Get the Facts: Commercial Auto Insurance

Get the Facts: Commercial Auto Insurance

For businesses that utilize motorized vehicles or equipment, it is important to have commercial auto insurance.

Commercial auto insurance covers more than just damage to a vehicle. It also covers the driver, in the case of bodily injuries, as well as property damage. It is important to have coverage for property damage so that if an employee gets in an accident that damages property while operating a company vehicle, your company won’t have to pay for the damages out of pocket.

Property damage can be extremely costly which is why you want to make sure to be covered. In addition, personal injury while operating a company vehicle can be a major setback for a business if they do not have the proper coverage. Commercial auto insurance will protect your business from liability for medical expenses due to personal injury. This insurance policy will also cover injuries or damage to other people involved in the accident.

Hired/Non-owned Auto Liability

Businesses that rent cars or whose employees use their own vehicles need to have hired/non-owned auto liability coverage. This includes the vehicle that an employee uses to stop by the post office to mail something for the company while still on the clock, or if an employee is asked to pick up lunch for the office during work hours.

If an accident occurs during their trip to or from their destination, you can be held liable. To avoid these types of situations, make sure that your business is properly covered. If you have commercial auto insurance, the coverage can be extended to meet these needs. In some cases, if you don’t feel like you need commercial auto insurance, this coverage can be inexpensively added to a general liability policy.

Use of Personal Vehicles

Insurance policies for privately owned vehicles usually do not cover damages that occur while the vehicle is used for business purposes. If you are a delivery driver for a restaurant, make sure the restaurant that you work for has commercial auto insurance. If they don’t, and you get into an accident on the job, your private car insurance policy will most likely not cover the damages.

If your business involves meeting outside of the office with clients, the same rules apply. Make sure that you are protected by your employer’s commercial auto insurance before operating your privately-owned vehicle while still on the clock.

Get the Right Coverage for Your Business

Every company is unique. That means that the coverage needed by one business may differ from the amount of coverage needed by a different type of business.

When considering commercial auto insurance for your business, make sure that all your grounds are covered. If you get a commercial auto insurance policy and realize that you do not have enough coverage, call your insurance provider to discuss additional coverage options.

If you feel like you are paying too much for your commercial auto insurance, want to extend your coverage, or are looking to get a commercial auto insurance policy issued for your business,  opens in a new windowcontact ustoday! We want to discuss which options are best for your business when it comes to commercial auto insurance.