Commercial Auto Insurance
What Is Commercial Auto Insurance?
Commercial auto insurance covers damages related to the vehicle you drive for your business. Think of it as a safety net for accidents that happen when you’re on the road for a gig, transporting inventory, or even parked at a client’s home.
If your business vehicle hurts another person or damages their property, this coverage can pay to make things right.
Here’s what commercial auto insurance typically covers and what it doesn’t:
| Usually Covered | Not Covered |
|---|---|
|
Accidents while driving for your business |
Personal trips not related to your business |
|
Damage to your business vehicle from a covered accident |
Wear and tear or maintenance issues |
|
Injuries to other people or damage to their property |
Intentional damage (like a road rage accident)
|
|
Collision and comprehensive damage (like vandalism, theft, or fire) |
Using your vehicle for illegal activities |
|
Medical payments for you or your passengers, regardless of fault |
Driving a personal vehicle not listed on the policy |
|
Costs if the other driver is at fault and underinsured |
Theft of your movable business property stored inside your vehicle |
Commercial Auto vs Personal Auto Insurance: What’s the Difference?
The main difference between commercial auto and personal auto insurance comes down to how you use your vehicle. Commercial auto insurance is specifically designed to cover vehicles used for business activities, like delivering goods or driving to job sites. Personal auto insurance is meant for everyday driving, like personal errands or seeing family.
Do I Need Commercial Auto Insurance?
If you use a vehicle to do business, then yes, you need commercial auto insurance! It’s also legally required in most states, and many business contracts require proof of coverage.
Do I Need Both Commercial Auto and Personal Auto Insurance?
If you use the same vehicle for business and personal use, you need both coverages.
Personal auto insurance will not cover accidents or damages if you’re behind the wheel on business (even if it’s only on occasion). This means if you sideswipe another car or back up into a customer’s storefront while working, you’d have to pay out of pocket for those costs without commercial auto!
How Do I Get Commercial Auto Coverage?
With Insurance Canopy, get a commercial auto coverage quote fast, so you can keep driving your business forward.
- Start an application
- Tell us about your business
- Receive a custom quote in 24 hours
Get tailored coverage by selecting your industry below.