What is commercial auto insurance?

Commercial auto insurance, also known as business auto insurance, protects your company’s vehicles from financial losses. Whether you use cars, vans, or trucks for business, this coverage helps safeguard them. It provides both liability protection in case of accidents and physical damage coverage for repairs. With this insurance, you’re covered whether your vehicle is involved in an accident, damaged by weather, or vandalized. It’s an essential protection for businesses that rely on vehicles to operate.

Because commercial vehicles face greater risks than personal ones, they require separate policies. These risks can include accidents, injuries, and property damage – all of which commercial auto insurance helps you navigate. Therefore, this essential protection is crucial for businesses of all sizes. In the unfortunate event of an accident, business auto insurance can shield your small business ownership from financial burdens.

What does commercial auto insurance cover?

Commercial auto insurance covers bodily injury and property damage in accidents. It provides collision coverage for your vehicle and includes comprehensive protection against theft, vandalism, and other non-collision incidents. This type of insurance also offers liability coverage for legal expenses and damages if your vehicle causes an accident.

What is not covered by commercial auto insurance?

• Personal vehicles
• Leased vehicles
• Wear and tear of business vehicles
• Employee injuries

Commercial auto insurance actively protects your business for accidents and property damage caused by your vehicles, but it has limitations. This coverage excludes intentional acts, such as employee theft of a company vehicle. Additionally, injuries sustained by employees are typically covered by workers’ compensation insurance, not commercial auto insurance.

Does a small business need commercial auto insurance?

If your small business owns, rents, or hire vehicles to operate your business, or uses employees’ vehicles, then you should consider commercial auto insurance! Commercial use of your personal automobile is not covered by a typical auto policy and you may be at risk. 

How much does commercial auto insurance cost?

Several factors can influence the cost of your commercial auto insurance. Markedly, these factors include the size of your business, your business operations, and the type of vehicles you need to insure. This is why commercial auto insurance pricing isn’t one-size-fits-all. Generally, Gild Insurance clients spend $200 a month on their commercial auto insurance policies.

Get a commercial auto insurance quote!

Your Gild Insurance Agent is here for you. We will make sure you get the right business insurance for your business. For a free, online quote, try out Gildber! Gildber will compare commerical auto insurance providers. Offering you a fast, hassle-free option for an online business insurance quote!

Take a peek at our Commercial Auto Insurance FAQs and blog, The Gildfitter, to explore your possibilities.