There are multiple reasons why you would need to purchase vehicles for your newly launched company. Most commonly, if you want to reach clients directly, you will probably want to buy a commercial fleet of vehicles to facilitate the delivery of your products. On the other hand, if you have employees that work odd hours, you may want to ensure their safety by providing company transport.
Whatever your primary reason is, it is worth bearing in mind that owning commercial vehicles does come with the need for commercial auto insurance. Read on for a few things that every business owner in search of the right commercial auto insurance coverage should know.
Is commercial auto insurance mandatory for business owners?
Admittedly, purchasing a commercial insurance cover for your business's vehicles is not a legal requirement for some states. Nonetheless, this does not mean that your particular state makes this cover exempt. In typical cases, you will find that you are required to pay for a specific amount of money in liability coverage, and this too will vary from one state to the next.
For your peace of mind, it is advisable to pay for the most amount of liability coverage that you can afford, as you can never estimate the amount of money it would cost your business in the event your commercial vehicles are involved in an accident that leads to extensive property damage or, in the worst-case scenario, physical harm to one or more individuals.
What financial protection does commercial auto insurance provide your business?
Although some business owners assume that the main reason to pay for commercial auto insurance is to protect their vehicles from repairs that stem from road accidents, this is not the only way you can benefit from this insurance. You should also know that depending on the inclusions in your specific commercial auto insurance coverage, you could be covered if you require to pay legal fees when a third party sues you for damages caused by your commercial fleet. Furthermore, commercial auto insurance can also take care of theft of business valuables in your fleet and car repairs that were not caused by an auto accident.
Certainly, the more inclusive your coverage is, the more money you will have to pay. But rather than simply choose the most basic coverage in an attempt to save on costs, you should consider working with an auto insurance agent. This professional will advise you on how best to personalize commercial auto insurance to match your business's unique needs.
To learn more, contact a company like Rowell Insurance Agency.Share