Does Your Business Need Commercial Auto Insurance?
Auto accidents can result in thousands of dollars worth of damages and injuries. And if your business is involved, the aftermath could prove disastrous. If your business relies on vehicles, then commercial auto insurance is a must.
Commercial auto insurance is recommended for all business vehicles. If your company is sued following an auto accident with one of your business vehicles, then commercial coverage will help with the expense. This type of policy covers trucks, service vehicles, vans, and more. Any type of motorized vehicle used in the operation of your business is likely eligible for commercial auto insurance coverage.
When one of your business vehicles gets into an accident, it can possibly lead to a lawsuit against your business. That’s why it’s important to have this coverage, and make sure to have enough of it.
You might want to cover your business vehicles using your existing personal auto policy. But most personal policies aren’t sufficient for business situations. And most personal policies prohibit coverage for business vehicles.
Under commercial auto insurance, your business can get coverage for:
1. Liability that pays for bodily damage caused in an accident with one of your business vehicles.
2. Property damage liability that pays for non-bodily damages caused by one of your business vehicles.
3. Personal injury coverage for when one of your employees is injured while driving for the job.
4. No-fault coverage pays for medical expenses following an accident, no matter who is at fault.
5. Medical payments coverage pays medical expenses of employees and others in the vehicle during an accident.
6. Uninsured/underinsured coverage is for when your business vehicle is in an accident with an uninsured or underinsured driver. Your insurer will handle your related expenses.
7. Collision provides assistance when your business vehicle collides with another vehicle or object.
8. Comprehensive provides assistance when your business vehicle is damaged in a non-collision incident.
The Benefits of Commercial Auto Insurance
Without commercial auto coverage, you run the risk of facing large expenses following an accident. Someone could sue your business for damages. If you lose the case, then your business is liable for paying the damages. Also, if a vehicle is damaged, then insurance will help get it back on the road as soon as possible.
You’ll have to pay a monthly premium for coverage. But the amount you pay for insurance is less than what you�d pay following a lawsuit.