Corey Dargan: Hi! I am Corey with Wells Fargo & Company. Today, we're discussing how to decide if you need Commercial Auto Insurance coverage. Whether your business owns and operates a fleet of pickup trucks, or a single car to make business trips. The reality is that many businesses use the same vehicle for both business, and personal reasons. Since every business is unique and every insurance company uses different standards, here are some of the variables that will help determine if your business requires Commercial Auto Insurance Policy.
Number of vehicles owned.
Primary use of vehicles.
How often the vehicles are used.
Type and size of vehicles.
Who owns the vehicles.
Just as your homeowner's insurance may not sufficiently cover your home business, your personal auto insurance policy may not be adequate for your business operations.
For example, let's say you own a van that your employees use during the week to pick up and drop off your customer's orders. You also use a van to run errands, grab lunch, or for personal use on the weekends. In this case, the van needs to be covered by a Commercial Policy. No matter how many vehicles your business has or what type of vehicles they are, all vehicles primarily used to conduct business should be protected with commercial auto insurance.
Similar to personal auto insurance, a Commercial Auto Policy will likely provide a combination of bodily injury, property damage, collision, and comprehensive coverage. It may also cover the following.
Vehicle repair or replacement after an accident.
Damage caused by theft, vandalism, or inclement weather.
Property damage expenses.
Injury or damage to others.
If your company's vehicle is in an incident that causes damage to someone's property or gets in an accident with another car or a pedestrian, your business needs to be protected. Commercial Auto Insurance is just what you need to offset related cost, and protect you from possible claims.