If you own a small business where vehicles are used to make deliveries, travel to meetings or work sites, run errands, etc., you’ve probably wondered, “Do I need commercial car insurance?” That’s an important question to ask, since even minor accidents can produce major financial burdens if they aren’t covered by insurance.
But it’s important to be aware that there are different ways to protect the vehicles used by your business, and the key is who owns them. Commercial auto insurance covers business-owned vehicles. Other vehicles used by your business—like when an employee uses their own car to make deliveries—can, and should, be covered by what’s called hired and non-owned auto liability coverage. It’s purchased as an add-on to a business owners policy (BOP) or general liability policy.
Commercial auto insurance, which is sometimes called small business car insurance, is important for a variety of businesses and professions, including:
But not every business in a particular industry needs coverage. For example, if you own an accounting firm that doesn’t have any company vehicles and your accountants never travel to meet with clients or for any work purposes, you probably don’t need commercial auto insurance or hired and non-owned auto liability coverage.
Of course, if you have any questions, it’s best to talk about your small business car insurance needs with one of our licensed insurance experts.
Commercial auto insurance can cover many types of vehicles, including:
If your business owns a type of vehicle not in the list, our licensed car insurance experts can tell you whether or not we can offer a commercial auto insurance policy to cover it.
Car insurance for small business owners from biBERK provides:
Insurance for your vehicles is very affordable, especially when you consider the huge financial burdens it can protect you from. Getting fast, free, self-service, online commercial auto insurance quotes for your vehicles tells you what you’ll pay for coverage.
Insurance industry experience, financial resources, and positive customer reviews are three of the key factors to consider when trying to determine who has the best commercial auto insurance. For example, biBERK is part of Warren Buffett's Berkshire Hathaway Insurance Group with millions of satisfied customers, a 4.9 out of 5 customer review rating, more than 75 years of insurance experience, and $38 billion in paid claims in 2020.
Of course, what you pay for your commercial auto insurance is important, too. Because we sell directly to you, and middlemen and brokers aren’t involved in the transaction, we can provide insurance for up to 20% less than other insurance companies.
And finally, convenience is crucial for busy business owners. You can get a fast, free insurance quote on our website anytime. It takes just minutes, and so does buying or managing policies and reporting claims online. In short, biBERK makes purchasing commercial auto insurance easy and gives you the reassurance that a reliable company has your back should the unexpected happen.
Our licensed insurance experts are always happy to talk with you. But answers to some frequently asked commercial auto insurance questions are below for your convenience.
The cost of commercial auto insurance varies based on things like the type of vehicle, how it’s used, and the driving records of the people who will operate it, to name just a few. For example, commuter/consultant use of smaller vehicles can cost $600 to $1,500 per vehicle per year. The cost to insure vehicles for for-hire trucking can be $5,000 to $15,000 per vehicle per year. Livery vehicles may cost $2,000 to $6,000 per vehicle per year to insure.
Your policy can cover your employees, family members, and others who have permission to drive your vehicles. People who do so on a regular basis should be noted on your policy.
Your current policy won't be affected, but your next term or renewal may be. Your policy is rewritten each time it expires. When that occurs, your driving record is a factor in determining your rate. That means your rate may go up, but an increase is not guaranteed just because of an accident.
Your policy can cover the vehicle and anything permanently attached to it, like a truck bed tool box. However, in that example, the tools themselves are not covered. Contractors who transport tools can purchase coverage for them under a general liability policy or business owners policy (BOP). Businesses in the for-hire trucking industry can purchase cargo liability add-on coverage to insure the goods they haul.
That depends on the size of the trailer. Liability coverage is automatic for trailers under 2,000 pounds gross vehicle weight, but for theft or damage coverage, you have to add the trailer to your policy. Trailers 2,000 pounds or over must be added to your policy to have coverage.