Commercial Auto Insurance For Business
This coverage is needed to cover the cars, trucks and vans used to conduct a company’s business. It is far more comprehensive and generally has much higher limits than personal auto policies. Additionally these policies can be endorsed to satisfy individual requirements of a company’s customers.
Commercial Auto is necessary to adequately protect a company from huge losses as a result of an at fault accident while conducting company business as well as adequate protection for expensive commercial vehicles.
The coverage includes the following:
Bodily injury liability coverage – pays for bodily injury or death resulting from an accident for which you are at fault and in most cases provides you with a legal defense.
Property damage liability coverage – provides you with protection if your vehicle accidently damages another person’s property and in most cases provides you with a legal defense.
Combined single limit (CSL) – Liability policies typically offer separate limits that apply to bodily injury claims for property damage. A combined single limit policy has the same dollar amount of coverage per covered occurrence whether bodily injury or property damage, one person or several.
Medical payments, no-fault or personal injury coverage – usually pays for the medical expenses of the driver and passengers in your vehicle incurred as a result of a covered accident regardless or fault.
Uninsured motorist coverage – pays for your injuries and, in some circumstances, certain property damage caused by an uninsured or a hit-and-run driver. In some cases, underinsured motorist coverage is also included. This is for cases in which the at-fault driver has insufficient insurance.
Comprehensive physical damage coverage – pays for damage to your vehicle from theft, vandalism, flood, fire, and other covered perils.
Collision coverage – pays for damage to your vehicle when it hits or is hit by another object.
It is imperative for companies using any vehicles to conduct business to have commercial auto due to but not limited to the following:
- Customers may require it in order to do business with your company.
- The exposure to litigation is much greater on the commercial side.
- The increased liability limits, usually $1,000,000, provide valuable protection to a company.
Tools and equipment also covered.