If you use a motor vehicle for business purposes, chances are that you need to carry commercial auto insurance. In addition, depending on the type of business you engage in, you may require higher liability coverage than is required by law as well as additional coverage to ensure that your business, employees, and vehicles are adequately covered.
What is the Difference between Personal and Commercial Auto Insurance?
The insurance needs of individuals and businesses are usually vastly different. Generally speaking, businesses can incur much more liability in the event of an accident than individuals, which means they need to carry significantly greater insurance coverage. In addition to insuring themselves, businesses need to make sure that they have coverage for their employees, work equipment, passengers, and other people. Commercial car insurance provides coverage that will meet the expanded needs of a business.
Who Needs Commercial Car Insurance?
While you may think that commercial car insurance is only for tractor trailers or other large trucks, if you use your vehicle for work or your business owns vehicles that are used for commercial purposes, you need commercial auto insurance. Commercial vehicles do not have to be large specialized trucks, but can also include the following:
- -Sport utility vehicles (SUVs)
- -Passenger cars
- -Station wagons
- -Dump trucks
- -Utility vans
Basically, if you use a vehicle in the course of business in a way other than getting to and from work, you should carry commercial auto insurance. If you are unsure about whether you should carry commercial insurance, talk to your agent as soon as you can.
Commercial Auto Insurance Coverage
Commercial auto insurance generally covers everything you would expect through a personal insurance policy, but with higher limits and added coverage for your employees, work equipment, and businesses assets. The exact coverage needs will depend largely on the type of business you are running and the way in which you use your vehicle on a regular basis. Importantly, if you have financed your business vehicles, your lender may require that you carry additional coverage to protect their collateral interest in your vehicle or vehicles.
Contact us today for a quote
Since 1957, the Skeele Agency, Inc. has been helping business and individuals manage their financial risk through a variety of insurance products. We offer competitive rates and will determine what level of coverage is right for you. To learn more about our various insurance policies, call one of 6 office locations today.