2. Commercial Auto Insurance – For Those Who Use Vehicles for Business Purposes
Many contemporary businesspeople use vehicles for performing everyday activities regarding their job. So, if you’re one of them, consider commercial auto insurance – it will protect you and your employees’ vehicle, together with the products or equipment which are part of it.
Consider commercial auto insurance when:
• You’re using the vehicle for transporting products or people for a fee
• You use the vehicle to conduct the service
• Ownership of the car is in the name of the corporation or partnership
Now, let’s see what commercial auto insurance mostly covers:
• Bodily injury liability coverage
– this coverage will pay for bodily injury or death caused by an accident which you're responsible for. In most cases, it will pay for your defense and court expenses.
• Uninsured motorist coverage
– it pays for your injuries caused by an at-fault driver whose insurance is not sufficient for covering expenses. Besides, in some cases, it can repay for property damage.
• Physical damage coverage
– this policy kicks in in case of flood, fire, theft, vandalism or any physical damage on your vehicle.
Can I use personal auto insurance instead?
Commercial auto insurance is required if you are using commercial cars, and larger vehicles like box trucks, food trucks, and work vans. On the other hand, personal auto insurance
is not aimed at businesses, and it is written and rated differently than the policy for commercial purposes, and some vehicles might be excluded from it.