Commercial Auto Insurance
Businesses that use motor vehicles must account for significant risks and exposures. Automobiles have substantial value and may be involved in significant accidents and losses that could derail your company’s fiscal stability. There may also be legal implications to consider. Your business must have adequate commercial auto insurance.
What Is Commercial Auto Insurance?
As its name suggests, commercial auto insurance is a form of auto insurance tailored toward businesses and commercial enterprises. Trucking companies, transportation providers, delivery services and other companies that utilize motor vehicles must consider these policies to be essential investments. A commercial auto insurance policy is often customizable, but certain components may be necessary to abide by legal requirements. Familiarize yourself with the following coverages:
- Third-party liability coverage is typically required by law and can help pay for the losses of others if you or your employees are at fault for an accident.
- Collision coverage can assist with repair or replacement costs if your company’s vehicles are damaged in an accident.
- Comprehensive coverage can help your business recoup vehicle-related losses arising from incidents other than crashes, such as fires, crime and some natural disasters.
- Uninsured/underinsured motorist coverage may compensate your business if another party is to blame for an accident but does not have sufficient insurance.
- Hired and non-owned auto coverage can financially protect policyholders from incidents in which their employees are involved in accidents while using personal or rented vehicles for business reasons.
How Much Is Commercial Auto Insurance?
Many factors can determine a company’s commercial auto insurance price. A commercial auto insurance broker may consider the following factors of a business:
- Location
- Industry
- Years in business
- Number of employees
- Value of insured vehicles
- Size of commercial fleet
- Employee driving records
- Claims history
- Policy details (e.g., deductibles and limits)
Is Commercial Auto Insurance Important?
Most companies that use motor vehicles are legally required to carry minimum levels of commercial auto insurance. Even without such obligations, these policies should be considered a top priority. Without adequate coverage, a single accident or circumstances beyond your business’s control, such as natural disasters, could lead to significant out-of-pocket losses.
We’re Here to Help
At Garlesky Insurance Agency, we’re well-versed in commercial auto coverage and will work with your business to ensure you have a suitable policy. Contact us today to learn more.
