Commercial Auto Insurance
What is Commercial Auto insurance?
Commercial Auto insurance provides liability and physical damage coverage for vehicles used in business operations, whether they’re owned, leased, or rented.
How is Commercial Auto different than personal auto insurance?
Personal auto policies typically exclude business use. If you’re using a vehicle for deliveries, job site travel, client visits, or transporting tools and equipment, a Commercial Auto policy is required to stay properly covered.
What vehicles can be covered?
Commercial Auto can cover cars, vans, pickup trucks, box trucks, and specialty vehicles used for work. Coverage can apply whether the vehicles are owned by the business or leased.
Who is covered under a Commercial Auto policy?
Coverage extends to employees, owners, and other permitted drivers using insured vehicles for work. Optional endorsements can also cover non-owned and hired vehicles.
What is included in standard coverage?
A typical policy includes liability coverage for injuries or damage you cause, collision and comprehensive for damage to your own vehicles, medical payments / PIP, and uninsured/underinsured motorist coverage.
What is “hired and non-owned auto” coverage?
This optional coverage protects your business when employees use personal or rented vehicles for business purposes. This is common in consulting, sales, or food delivery businesses.
Do I need Commercial Auto insurance if I use my car occasionally for work?
Yes, even occasional business use can void personal coverage. If you are transporting tools, driving to job sites, or using your vehicle for deliveries, you should have a Commercial Auto policy or endorsement.
Are trailers or permanently attached equipment covered?
Coverage can be extended to trailers or permanently attached equipment if listed in the policy. Specialized equipment may require additional coverage or inland marine insurance.
Does business auto insurance cover employees commuting to work?
No. Regular commuting is not considered a business use. Commercial auto coverage applies when the vehicle is used during work activities, not to and from an employee’s home.