What Type of Vehicles Are Covered by Commercial Auto Insurance?

Commercial auto insurance covers a wide range of vehicles used for business purposes. This includes cars, trucks, vans, and trailers that are owned or leased by your business. It also covers vehicles that are owned by your employees but used for business purposes.

What Kinds of Businesses Need Commercial Auto Insurance?

Any business that uses vehicles for business purposes needs commercial auto insurance. This includes businesses that own or lease vehicles, as well as businesses that use employees’ vehicles for business purposes. Examples of businesses that need commercial auto insurance include delivery services, contractors, landscapers, and taxi services.

What Risks You May Face Without Commercial Auto Insurance

Operating a business without commercial auto insurance can expose you to a variety of risks. If one of your vehicles is involved in an accident, you could be held liable for the cost of medical bills, property damage, and legal fees. Without insurance, these costs could be financially devastating for your business.

What If I Need Certain Liability Limits for a Contract?

Some contracts may require you to have specific liability limits for your commercial auto insurance. For example, if you are contracting with a government agency or a large corporation, they may require you to have a minimum amount of liability coverage. Commercial auto insurance allows you to customize your coverage to meet these requirements.

Are Tools and Materials in My Vehicle Covered by a Commercial Auto Policy?

In most cases, tools and materials that are stored in your vehicle are not covered by a commercial auto policy. However, you can add coverage for tools and materials to your policy through a separate endorsement. This can help protect your business assets in the event of theft or damage to your tools and materials.

Call Larsen Insurance for a Free Insurance Quote!

Protecting your business with commercial auto insurance is essential for safeguarding your assets and finances. If you’re interested in learning more about commercial auto insurance or would like a free insurance quote, contact Larsen Insurance in Andover, Minnesota, at 763-783-1188. Our knowledgeable agents can help you find the right coverage for your business needs.