Commercial Auto insurance is needed for businesses of any size that have vehicles that are being driven. Whether it’s one vehicle or a fleet of them, it will be necessary to get a policy.
What is Commercial Auto Insurance?
Understanding this type of auto insurance will make it easier to identify why you need it. The policy will provide you with the coverage required to be legal on the road, including liability coverage. This way, if there is an accident, you can be sure that the insurance is paying for the damages and possible hospital bills as opposed to your business.
There are all sorts of coverage options, including covering you for comprehensive and collision.
More importantly, you need the commercial type as opposed to standard because it is being used in a commercial setting. You may have multiple employees driving the vehicles, they could be transporting various products, or even people.
What You Need to Know
When you buy this type of auto insurance, you will be able to have a policy built to meet your needs. This means you will need to provide details on all of the company vehicles that you have, what is being transported, and how many drivers will be using the vehicles.
You may be able to lower the cost of insurance premiums by taking the time to review the driving history of all drivers. If an employee has a bad driving history, you may want to find a position other than driving. Otherwise, it could drive up the cost of your insurance premiums if they get into an accident on the road.
It’s important to consider how much coverage you want. Once you meet the minimum requirements for coverage, you can explore riders that will protect you against other potential scenarios.