As a businessowner, you need insurance coverages for the cars, trucks, vans or other vehicles you use in your business as you do for vehicles used for personal travel. Your Businessowners Policy (BOP) does not provide any coverage for vehicles, so you must have a separate policy.

Whether you use your own car or a fleet of pickups, box trucks and even trailers to get the job done, you need to stay financially protected by getting the commercial auto insurance coverage for liability, personal injury/medical, collision and more — to keep your business moving forward. Plus, if your employees use their own vehicles to perform deliveries, make sales visits, or run errands for your business, you could be liable for any accidents they cause. The line between a personal vehicle and a commercial vehicle is sometimes unclear, we have shared the difference between them below.

If you’re a sole proprietor who owns a vehicle used primarily for business, you may need this policy. A commercial policy typically has higher liability limits than personal auto insurance.

For small businesses, the line between what is considered a personal vehicle and a commercial vehicle is often blurry. Sometimes small business owners and employees use their personal vehicles to travel to job sites, transport equipment or deliver goods.

Personal auto insurance policies almost always exclude business use. That means you’re not covered if you get into an accident while driving for work (with the exception of your commute).

The main difference between personal and commercial auto insurance is who owns the vehicle. If your business owns a vehicle, it must be covered by commercial auto insurance.

Commercial auto insurance covers accidents that occur while you or your employees are driving a company vehicle. While both personal and commercial auto policies pay for legal and medical bills related to auto accidents, commercial auto insurance usually covers higher claims, different types of vehicles, and more complex legal issues.

A commercial policy typically insures all the business’s employees as additional insureds, which means every employee with a valid license can use the vehicle.

It might be time to switch insurers whenever the service that your existing insurer provides doesn’t meet your needs. For example, if you have a poor claims experience or an unexplained rate increase, it might be time to consider other options

If you cancel a previous policy before a new policy is effective, you could run into some serious financial problems.

Contact us today to help you with multiple options to choose from.