Benefits of Commercial Auto Insurance

When it comes to running a business, vehicles - whether they are leased, rented or owned - are crucial for a variety of tasks. Whether transporting materials and tools to work sites, hauling goods for deliveries or driving to meet clients - companies of all kinds rely on safe and functioning vehicles to serve customers and generate profit.

It is important to protect your drivers and vehicles through proper insurance coverage. That’s why many organizations turn to commercial auto insurance, which can provide the following benefits:

Liability Coverage: Collisions don’t just impact vehicles, they can cause expensive damage to nearby property and valuables. In these instances, commercial auto insurance can provide a range of protection if and when you damage another person’s vehicle or property in an accident.

Physical Damage and Collision Protection: Following an accident, you or your employees may need to pay for vehicle repairs, both for your own vehicle and any vehicles you hit. Commercial auto insurance can reimburse policyholders for the costs of vehicle repairs they may need following the crash, regardless of who is at fault. Many policies even provide coverage for uninsured and underinsured motorists, providing an extra layer of protection.

Medical Payment and Lawsuit Coverage: Collisions often result in bodily hard and expensive medical costs for you and those involved in an accident. Commercial auto insurance policies offer some protection for those expenses and can cover medical costs, lost wages, and even legal expenses should a lawsuit be bought against you.

Comprehensive Coverage: Collisions aren’t the only source of vehicle damage your business needs to consider. Commercial auto insurance can provide comprehensive protection for damages that are unrelated to an accident.

Protection Beyond Personal Auto Insurance Policies: Simply put, personal auto insurance doesn’t provide adequate coverage for any accidents that occur while policy holders are driving for business purposes. In the absence of commercial auto coverage, companies would have to pay out of pocket should employees get in an accident while making deliveries, picking up supplies, or using a vehicle to perform essential business functions.

Optional Add-ons for Even More Security: Beyond standard protection for collisions, commercial auto insurance policies can often be customized to meet your needs. Common policy add-ons (also known as endorsements) include roadside assistance coverage, new vehicle replacement cost coverage, towing reimbursement, rental reimbursement and gap coverage for auto loans or leases.

Mayar MahmoudSIA Group