auto insurance
Auto insurance for commercially used vehicles

When purchasing commercial vehicle coverage you have to bear in mind that its main purpose is to cover any vehicle that is in commercial use. Most commercial coverage policies carry both bodily injury and property damage liability coverage. Of course, by commercial vehicle we may understand a very wide array of different vehicles, but the most commonly insured business vehicles are cars, trucks, vans, trailers and buses.

There are many different commercial auto coverage solutions out there on the market, but the most commonly available and purchased are the following:

Business coverage

This type of commercial auto coverage is designed for individual use of commercial autos, for traveling or simple move around for business purposes. It's evident that this type of insurance doesn't apply cargo or auto service companies, being designed only for individual use.

Primary/personal coverage

This type of commercial insurance covers the individual operating the vehicle at the moment of the accident by protecting against legal responsibility and paying for any damage delivered. It is somewhat similar to liability coverage with individual auto policies; however it's not the same from the legal content point of view.

Comprehensive/Collision coverage

Comprehensive and collision coverage can be purchased just like with individual auto coverage. This type of auto coverage pays for the damage resulted from a collision with another vehicle or an accident involving certain circumstances such as storms, fires, natural disasters, riots, acts of vandalism, etc. Make sure to investigate the policy in detail in order to learn which situations are covered and which are not.

Garage coverage

This type of auto insurance is specifically designed for auto dealers. They usually can not purchase other forms of commercial coverage other than Garage coverage. This coverage type is comprised of liability coverage, bodily injury and car insurance for garage keepers that is applied to the premises of the auto dealer.

Trucker's coverage

The Motor Carrier Act requires truck owners to provide proof of their financial abilities in order to operate commercially because they are fully responsible for any losses or damage to the cargo while they are moving it. That's why this type of insurance is designed specifically for truck owners and trucking companies. Trucker’s coverage includes liability coverage, bodily injury, property damage and trailer replacement insurance.

Commercial auto coverage is a must for any business that is serious about its goals and responsible for its operations. Moreover, commercial insurance on business vehicles is a question of security and most businesses working with transportation are obliged to cover their vehicles under commercial coverage.

But if it's commercial it doesn't necessarily mean that it has to be expensive. Of course, most of the times this type of insurance is more costly than individual insurance. But if you take your time to compare auto insurance quotes form different companies you will be able to find great solutions, even if your business is small and your budget is limited. The rule of shopping around doesn't make an exception with commercial auto coverage. So make sure to take some time, study the offers, consult with your insurance agent and get the policy that will provide the best coverage for the lowest price.