Understanding Business Auto Insurance
When it comes to running a business, vehicles — whether they’re leased, rented or owned — are crucial for a variety of tasks. Whether transporting materials and tools to worksites, hauling goods for deliveries or driving to meet clients — companies of all kinds rely on safe and functioning vehicles to serve customers and generate profit.
Commercial Auto Policies Cover a Variety of Risks, Including:
Physical Damage and Collision Protection
Following an accident, you or your employees may need to pay for vehicle repairs—both for your own vehicle and any vehicles you hit. Commercial auto insurance can reimburse policyholders for the costs of vehicle repairs they may need following a crash, regardless of who is at fault. Many policies even provide coverage for uninsured and underinsured motorists, providing an extra layer of protection.
Medical payment and lawsuit coverage
Collisions often result in bodily harm and expensive medical costs for you and those involved in an accident. Commercial auto insurance policies offer some protection for these expenses and can cover medical costs, lost wages and even legal expenses should a lawsuit be brought against you.
Collisions aren’t the only source of vehicle damage your business needs to consider. Commercial auto insurance can provide comprehensive protection for damages that are unrelated to an accident (e.g., losses related to theft, floods, vandalism and fires).
Optional add-ons for even more security
Beyond standard protection for collisions, commercial auto insurance policies can often be customized to meet your needs. Common policy add-ons (also known as endorsements) include roadside assistance coverage, new vehicle replacement cost coverage, towing reimbursement, rental reimbursement and gap coverage for auto loans or leases.
Commercial auto insurance isn’t just for large fleets. Any car, truck, van or similar vehicle used as part of your operations needs to be covered.