A variety of Commercial Auto Insurance policies exist to protect the business use of cars, vans, trucks, and trailers. Most policies are customized to fit the unique needs of each business. The typical policy covers:
Injury or death of drivers involved in an on-the-job collision.
Injury that you or one of your employees cause to others in an on-the-job vehicle accident.
Damage or loss to your business’ vehicles and cargo.
Damage you or your employees cause to others’ vehicles or property.
Uninsured motorist protection.
As with Personal Auto Insurance, Commercial Vehicle Insurance covers personal injury, damage to vehicles and property, and protection from liability.
What Commercial Auto Insurance Is Not
Commercial Auto insurance has many similarities to Personal Auto Insurance, but there are significant differences. Coverage limits are usually higher. It gets a bit complex when you or your employees use personal vehicles for business use. Most commercial policies won’t cover an employee’s personal liability (just company liability), and most won’t reimburse employees for damage caused to personal vehicles used for company business. Check with your agent to see if your business use of personal vehicles warrants commercial insurance. Requirements and rules vary from state to state.