Commercial auto insurance versus personal car insurance.
If your business operations require employees to drive around in company vehicles, then you need commercial auto insurance to protect your exposures. But what is commercial auto insurance, and what makes it different than your personal auto policy? Here’s what you need to know.
Personal vs. Commercial Auto
When you compare personal and commercial auto policies, you’ll notice that both types of insurance offer similar forms of coverage. For instance, both personal and commercial auto policies offer coverages such as collision, comprehensive, bodily injury liability, property damage liability, medical payments, and so on. The main difference between these two types of insurance is the amount of coverage that they offer. Because businesses face higher liability risks and have more assets to protect than individuals, commercial auto policies offer higher coverage limits and are designed to cover more complex legal issues than personal policies are. Additionally, because businesses can use standard cars vans, and even delivery trucks, commercial auto policies are designed to cover a wider array of vehicles than personal car insurance.
Who Needs Commercial Auto Insurance?
Any business that routinely uses vehicles to carry out operations needs commercial auto insurance. This includes businesses that handle the following:
- Transporting goods or equipment
- Delivering goods or services
- Driving around clients or employees
- Renting out company vehicles for client use
- Hauling work-related loads
- Towing trailers used for business purposes
This is what business owners need to know about commercial auto insurance. Looking to secure the right commercial coverage for your company? Then contact the experts at Weaver & Associates in Arcadia, California. We are ready to assist you with all your business insurance needs today.