Commercial Auto Insurance

Commercial auto insurance, also known as business auto insurance, is a type of insurance coverage designed to protect businesses that use vehicles for their operations from financial losses resulting from accidents, damage, or other liabilities associated with those vehicles. This insurance is essential for companies that own, lease, or use vehicles for business purposes, including cars, trucks, vans, and specialized vehicles.

Key Features:

1. Vehicle Coverage: Commercial auto insurance provides coverage for vehicles used for business purposes. This includes company cars, delivery vehicles, service trucks, and any other vehicles used in the course of business operations.
2. Liability Coverage: This insurance provides coverage for bodily injury and property damage that may occur due to an accident involving a business-owned or business-leased vehicle. It covers the cost of medical bills, legal fees, and potential settlements or judgments if the business is found liable.
3. Physical Damage Coverage: Commercial auto insurance can include coverage for the repair or replacement of business vehicles damaged in accidents, including collisions and non-collision events such as theft, vandalism, fire, or natural disasters.
4. Medical Payments (MedPay) or Personal Injury Protection (PIP): Some policies offer coverage for medical expenses for injuries sustained by the driver and passengers in the insured vehicle, regardless of fault.
5. Uninsured/Underinsured Motorist Coverage: This coverage protects against accidents caused by drivers who have little or no insurance coverage. It can also provide protection if an at-fault driver's insurance limits are insufficient to cover the costs of an accident.
6. Cargo and Equipment Coverage: For businesses that transport goods, cargo insurance can protect the value of the cargo being transported. Similarly, equipment used in the vehicle, such as specialized tools or machinery, can be covered.
7. Hired and Non-Owned Auto Coverage: If your business occasionally rents or uses vehicles not owned by the company, this coverage can provide liability protection in such situations.
8. Driver Coverage: The policy can specify covered drivers, such as employees or specifically named individuals. It's important to accurately list drivers, as their driving history and experience can impact premiums.