Commercial Auto Insurance Can Protect Your Business
Commercial auto insurance is similar to the auto insurance you probably have on your personal car. While providing some similar protection, commercial auto insurance is designed to address the more complex coverages needed by your business. Commercial auto insurance can protect your business from liability stemming from vehicles used for your business.
Businesses that purchase commercial auto insurance usually have:
- A vehicle that is titled to their business
- Carry tools, equipment, or products used to conduct business
- Drive to and from job or worksites
- Transport employees or customers
A Business auto insurance policy has the flexibility to be applied to vehicles used for business, personal, non-owned, or hired vehicles. The exact coverage you need for each vehicle will be based on the vehicle’s specific type and use. The insurance policy can differ by vehicle. In California, automobiles are classified by weight (light, medium, heavy, extra heavy) and by the type of use (private passenger, service, commercial). The type of business you have will also determine how your commercial automobile insurance policy is classified. There are specific codes assigned based on the kind of exposures common to your type of business. The code your business is classified under is the first step in determining what your premiums will be.
Business Auto Insurance Policy
Commercial auto insurance policies often use a Combined Single Limit for bodily injury and property damage. Combining these creates higher limits for both coverages. Common commercial auto insurance limits are $500,000 or $1,000,000. By partnering with an expert in commercial automobile insurance, you can determine the best coverage given the type of business and the financial risk you are comfortable with.
The premiums for your commercial automobile insurance are determined by several things, including:
- Number of vehicles you are insuring
- The types and value of the vehicles
- Level of risk involved in the vehicle’s operation
- Claims history of your business
- Driving records of employees using the vehicles
- Policy deductibles and limits
We understand the value of your business vehicles. Whether your employees drive across the country or make local deliveries, your business vehicles are critical to keeping your business running. But accidents do happen. As your partner, we are here to ensure that when they do, you have the appropriate insurance in place to keep your business and employees protected. We will work with you to understand your business’s unique needs and create a customized policy that meets your financial and operational needs.