Commercial Auto
Simple Explanation:
If you or your employees drive a vehicle for work — delivering goods, transporting tools, visiting clients — commercial auto insurance protects you in case of accidents, damage, or lawsuits involving those vehicles.
Commercial Auto Insurance is a policy that covers vehicles used for business purposes. It's like personal auto insurance, but tailored for business-owned or business-used vehicles.
What It Usually Covers:
- Liability: If you or an employee causes an accident that injures someone or damages property
- Collision: Damage to your vehicle from a crash, even if you're at fault
- Comprehensive: Non-crash incidents like theft, fire, or vandalism
- Medical Payments: Covers injuries to the driver and passengers
- Uninsured/Underinsured Motorist: Protects you if the other driver has little or no insurance
What It Typically Doesn’t Cover:
- Personal use of a business vehicle (depends on the policy)
- Employee-owned vehicles used for business (needs a different kind of coverage)
- Intentional damage or illegal activity
Who Needs It?
- Contractors
- Delivery drivers
- Landscapers
- Real estate agents
- Any business using cars, trucks, or vans for work
If you’re using a vehicle for more than commuting — like hauling equipment, transporting goods, or driving to job sites — you likely need commercial auto insurance.