Commercial Auto Insurance

Commercial auto insurance is a vital financial safeguard for businesses that rely on vehicles as part of their operations. Whether you operate a small delivery service, manage a fleet of trucks or use company cars for various business purposes, commercial auto insurance protects your business from the financial repercussions of accidents, liability claims and unexpected events involving your vehicles.  

Understanding the intricacies of commercial auto insurance is essential for any business owner or manager to ensure adequate protection and compliance with legal requirements.
 

Are There Different Types of Commercial Auto Insurance Policies? 

 

Commercial auto insurance encompasses a variety of policies tailored to meet the needs of businesses that use vehicles for their operations. These policies offer liability coverage, physical damage, cargo and various other aspects depending on the nature of the business. Specialty policies can cater to businesses with specialized vehicle requirements and extend coverage to vehicles not owned by the business but used for work purposes.  

Each type of commercial auto insurance is designed to address the unique risks associated with different industries and types of vehicles, making it crucial for businesses to choose the right policy to protect their assets and operations effectively.

How Does Commercial Auto Insurance Liability Work? 

 

Commercial auto insurance liability coverage is designed to help cover the costs of bodily injury and property damage that your business vehicles may cause to others in accidents where your driver is at fault. It typically includes property damage liability, which can pay for damage to the other party’s property, and bodily injury liability, which covers medical expenses and legal costs for injuries to individuals in accidents.  

Commercial auto liability coverage can also provide legal defense in case of lawsuits. Businesses with higher liability risk may also benefit from an umbrella policy, which can provide additional coverage beyond the standard policy limits. 

How Are Commercial Auto Insurance Rates Determined? 

 

The following are the key factors that influence commercial auto insurance rates: 

• Type of business
• Vehicle type
• Vehicle usage
• Coverage levels
• Driving records
• Claims history
• Location
• Deductibles
• Annual mileage
• Safety features
• Driver training 

 
Contact Area Insurance Services to determine your business’s most accurate and cost-effective commercial auto insurance policy. We can assess your needs and help you find coverage that balances protection with affordability.