Some business owners don’t even realize what commercial auto insurance is. It works like regular auto insurance coverage, except it covers company cars in the event of an accident. Just like basic auto insurance, the coverage provides financial assistance in certain situations – such as the vehicle is damaged or causes damage to another vehicle or person.
How many cars does your company own? Keep in mind the cars, vans or trucks must be for business purposes only. They must be vehicles that employees drive to get their job done.
When one of your employees drives a company vehicle, they are responsible for their own actions behind the wheel. But in the event of an accident, your company can be held liable. Commercial car insurance pays for the fallout following an employee’s accident.
You can select a policy that covers specific employees. It’s also possible to get a policy that provides blanket coverage for any employee driving. It doesn’t matter if you have a fleet of vehicles or just a few – any amount of vehicles can be covered by insurance.
Commercial car insurance means your company will have financial assistance in its time of need. You can’t guarantee that your employees will drive safe. That’s why it’s important to insure every company vehicle. It will handle things such as damages, medical expenses, and provide coverage if a company vehicle is stolen.
You might also have the option of adding roadside assistance, for when a vehicle is stranded. The cost of the policy will depend on how many vehicles need to be insured. It will also depend on what type of coverage you get. An insurance agent can provide more details.