What is Commercial Auto Insurance?

Commercial auto insurance is a vehicle insurance policy that provides financial protection for a business’ vehicles and its drivers.

These policies are similar to a standard car insurance policy, but can include higher liability limits and coverage’s that are specific to your business.

For instance if you own a landscaping business and you only use your vehicles for part of the year, some companies will offer seasonal auto coverage to fit that particular need.  Under a commercial auto insurance policy if an employee is involved in an on the job collision they will be able to receive coverage for medical injuries regardless of fault. What is considered a commercial vehicle? A commercial vehicle would be any vehicle or trailer that a business or company uses to transport job-related materials, goods or equipment.


What might a commercial auto insurance policy  include?

  • One thing would be bodily injury liability coverage, this pays damages due to bodily injury to others for which you are responsible.
  • Also property damage liability coverage this pays damages due to property damage to others for which you are responsible.
  • Another one would be Comprehensive coverage, this pays for a covered auto that is stolen or damaged by causes other than collision or upset.
  • There are several options that can be included in one of these policies. Make sure that the insurance company you chose explains each of them to you.

So how do you decide if your company needs commercial auto insurance?

Here are a few things to consider. If you and your employees depend on commercial vehicles every day as an essential part of doing business to perform deliveries, sales visits, picking up supplies, and other errands for your business? If so, you could be held liable for any accidents they cause. Consider how frequently accidents are occurring, nearly six million traffic accidents occur every year, or more than 16,000 per day.  While weather and other drivers on the road are simply beyond your control, protecting your vehicles as well as your employees with commercial auto insurance is in your control.

Figuring out what coverage you need for the autos you own and operate for your business can be quite the challenge. Since every business has different needs it would be a good idea to find a insurance company that has local independent agents that are knowledgeable about what options would be best suited for your particular business. A qualified agent should be able to help you customize a commercial auto insurance policy that will ensure both you and your business are fully protected. Get a commercial auto insurance quote

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