Understanding Your Commercial Auto Insurance

 Commercial auto insurance offers a wide range of policies for commercial vehicles, automobiles, trucks and other motor vehicles operated by your company. Collision coverage can be required when your vehicle is financed either through a loan from a bank or a lease. Collision coverage also pays for your property or personal injuries if you are hit by an uninsured motorist or, more commonly, an unknown driver. For businesses that drive on the roads regularly, it is recommended that collision coverage is not included in your policy.

If you drive a commercial vehicle frequently or own one of the many types of fleet vehicles available to businesses, you will want to have commercial auto insurance on them. You can also consider purchasing an additional coverage policy for the vehicles when they are owned by your company. This will ensure that your company will be covered in the case of an accident or other type of emergency that results from a driver without commercial auto insurance. The insurance policy will provide coverage to all passengers in the vehicle and to you in the case of an accident or other type of incident that involves your company vehicle.

When you purchase your commercial auto insurance policy, there are some things that you should keep in mind. You must know the exclusions in your policy, so that you will know what coverage you are legally required to carry and what you can and cannot claim.

Every state has specific limits and exceptions to the amount of the bodily injury or property damage that is covered under a commercial auto or liability policy. For example, some states require that a business must be at least fifty feet away from a motorist when that driver is in a crash with a business vehicle. Other states do not have this requirement. There are other exclusions as well such as age, gender, race, religion, and size of business. It is important to remember that even though the commercial auto insurance policy may state that you cannot claim for personal injuries or personal property damage caused by an accident, you might still be able to make a claim for medical bills or any other claims that have been specifically excluded from your policy.

If you buy a policy that only offers collision coverage, you will not be able to claim against you or your business if you have an accident with a motorist who is uninsured or underinsured. In most cases, a comprehensive commercial auto policy will not cover you if a driver is not carrying insurance. liability coverage. It will, however, pay for you to get to the hospital or back to work if you are injured. because you cannot drive yourself.

One of the most common types of exclusions in commercial auto insurance is the exclusion of passengers in the vehicle. In most states, this does not include employees or contractors and their dependents who are in the vehicle while driving or who have signed the liability or collision policy. There are other situations in which you may not be covered under your commercial auto or liability policy, so it is essential that you research the exclusions carefully.