If you’re in an accident, the last thing you want to hear is, “I’m sorry, this isn’t covered under your personal auto policy.” That’s the risk you take if you don’t purchase a commercial auto policy for any vehicles you or your employees use in your business.
Because a business has an increased liability in comparison to an individual, insurance companies exclude most business-related activity from personal auto policies. Commercial auto policies protect your business from financial losses resulting from an accident. They often include a broader range of coverages, such as physical damage (comprehensive and collision coverage), medical payments, uninsured motorist coverage, personal injury protection, loss of use/rental reimbursement coverage, and emergency roadside assistance. They can be tailored to suit your needs—and they don’t always cost more than a personal auto policy would.
If you’re not sure if you need a commercial auto policy, think about how and if your vehicles are used in your business. Certain types of activities and situations definitely call for a commercial auto policy, including the following:
- The vehicle is used for pick up or delivery of goods, or for a taxi or other livery service (Uber or Lyft drivers have special needs—see “Coverage Options for Uber and Lyft Drivers.”)
- The vehicle is owned or registered to a partnership, business, corporation, or some other entity
- The vehicle is driven on an occasional or regular basis by employees or non-listed drivers
- The vehicle is leased or rented to someone else
- The vehicle is outfitted with permanent equipment, such as a ladder rack or permanent tool box used in your business
Whether you’ve started a side hustle, you’re an owner/operator of a one-person business, or if you employ multiple people and have a fleet of vehicles, we can help you find a competitive commercial auto policy. Lakewood Financial has been serving the car insurance and commercial auto insurance needs of Lakewood Ranch, Bradenton/Sarasota, and surrounding communities since 2003. Please call us at 941-747-4600 to discuss your situation, and/or to get a free, no-obligation quote, or contact us online.