Commercial auto insurance is a type of insurance policy designed to protect businesses that use vehicles for business purposes. It provides coverage for vehicles used for business operations, including cars, trucks, vans, and other types of commercial vehicles.
Commercial auto insurance covers a range of risks that businesses face when using vehicles for business purposes, including liability for bodily injury or property damage caused by the vehicle, damage to the vehicle itself, and theft or vandalism.
Businesses that may need commercial auto insurance include:
- Delivery and courier services
- Construction companies
- Taxi and limousine services
- Landscaping and lawn care services
- Non-profit organizations with owned or leased vehicles
- Mobile food vendors
- Home healthcare services
- Any business that uses vehicles for business purposes
Commercial auto insurance policies may include several types of coverage, such as:
- Liability coverage: This covers damages that you may be legally responsible for if you are involved in an accident while driving a company-owned vehicle.
- Collision coverage: This covers damages to your vehicle if it is involved in a collision with another vehicle or object.
- Comprehensive coverage: This covers damages to your vehicle that are not caused by a collision, such as theft, vandalism, or weather-related events.
- Uninsured/underinsured motorist coverage: This covers damages caused by an uninsured or underinsured driver.
The cost of commercial auto insurance depends on a variety of factors, such as the type of business, the number of vehicles, the driving records of the drivers, and the coverage options selected. It’s important for businesses to work with a reputable insurance provider to find the right policy and ensure adequate coverage.