Why Buy Commercial Auto Insurance?

by | Mar 19, 2013 | insurance

The law demands that your business must practice compliance and pay damages for legitimate claims made against your business for property damages, injuries and other acts. If a commercial vehicle belonging to your company and driven by an employee was involved in a criminal act, your company is liable for any damages and injuries sustained. To protect your business from financial losses caused by such claims, owners should purchase commercial auto insurance.

Accidents can happen anytime and anywhere. As a responsible business owner your commercial vehicles should be covered to pay for damages and injuries to others. Any bodily harm that your commercial vehicle could cause to others on the road, for which you bear responsibility could jeopardise the success of your business.

Commercial auto insurance is customizable to your needs. Insurance can be purchased for vehicles you own or those leased and rented for commercial use. However large or small your fleet of commercial vehicles is, there is policy to provide the protection you seek. Some of the options that the business owner can seek are:

* Bodily injury liability insurance that covers injuries or death to other drivers and passengers

* Property damage liability that covers damage to another party’s property for which you hold responsibility

* Comprehensive coverage that protects your vehicle from losses from incidents like theft or a tree branch impacting and damaging the vehicle.

* Collision coverage that provides monetary compensation when your commercial vehicle is hit by or hits another vehicle.

* Uninsured or underinsured motorist coverage pays for your medical bills and damages sustained by impact with another vehicle where the other party is at fault and underinsured or uninsured.

* Medical payments coverage pays for care for injuries sustained by passengers if your vehicle is involved in an accident.

Businesses need auto insurance to provide coverage against a variety of liabilities. Even if your employees use their own cars and vehicles to run errands for the business like pick up supplies, make deliveries and sales visits. If their auto is involved in a collision, you may face the claims for accidents caused by them. In such cases, the employer non-owned liability coverage (ENOL) can be a godsend. This coverage protects the employer when employees use their own vehicles for company work.

Depending on the coverage you seek, your insurer can make out a customized plan to protect you with commercial auto insurance, California residents can find local insurers with customizable solutions to your insurance needs.

auto insurance california

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