You’ve put a lot of work into opening your own business. That’s why you owe it to yourself to protect every second of time and every penny of the money you’ve invested in your business.
If your company relies on vehicles to remain operational, it’s vital you take out a commercial auto insurance policy. A single accident could bring your business to the brink of business, or worse.
Understanding Why You Need Commercial Auto Insurance
Do you or your employees need trucks, vans, or cars to make deliveries, travel to clients, or anything similar? If so, there’s a chance you or your employees could be involved in a motor vehicle accident on company time. There’s also the chance foul weather could result in damage to a parked company vehicle. In either scenario, the financial damages incurred could bankrupt your personal finances as well as your business’s finances.
You can just add your company vehicles to your personal auto insurance policy, right? The truth is that insurance companies frown on covering commercial vehicles with a personal auto insurance policy. This is because there’s more risk involved if you spend a lot of time driving a commercial vehicle.
Something else to consider is that your personal auto policy was priced according to how you drive your personal vehicle, not how you drive a commercial vehicle. You don’t want to find out after an accident in a company vehicle that your personal policy won’t cover the damages.
What Type of Commercial Vehicle Policy Do You Need?
Commercial vehicle policies include many of the same types of coverage as personal auto policies, including:
- Collision protection
- Liability insurance
- Medical payments insurance
- Comprehensive coverage
- Under/Uninsured motorist coverage
That said, there are also special inclusions to add to your policy. For instance, if you often haul trailers you don’t personally own, you may want to look into trailer interchange insurance. Non-owned vehicle insurance protection is ideal if you have a valet service or something similar where you or your employees are often behind the wheel of cars you don’t own.
With what’s known as “any auto liability insurance,” you’ve got additional liability coverage for your current commercial vehicles, new cars you purchase for your company in the future, and vehicles you hire that you do not personally own. Even if you have plenty of coverage for all your business vehicles, know that there’s still a chance you may need to turn to a rear-end collision accident attorney to receive fair compensation after an accident.
Do Your Part To Stay Safe on the Road
Having insurance is all well and good, but it’s even better if you never have to file a claim in the first place. The money you’d spend on a deductible can be funneled back into your business. That’s why you need to take steps on your own to lower your chances of being in an accident or having to ask “how do i get a police report for a car accident?” Keep your company vehicles serviced and maintained according to the specific make and model. Let your employees know that they should inform you of any odd noises, smells, or sensations coming from commercial vehicles.
When company vehicles aren’t in use, they should be stored in a space that’s safe from the elements and potential car thieves and vandals. Anything criminals may want to steal should be hidden inside the vehicle, and anyone who uses the vehicles should be sure to lock them up.
Also, get into the habit of looking over your commercial auto insurance policy at least once a year. Your company may go through minor or major changes that could demand an amendment to your policy. Insurance policies, no matter if they’re for personal or professional reasons, should always match your most current needs.
Train Your Employees
Any employees who get behind the wheel of company vehicles should be properly trained to handle the vehicle in the first place. Proper training lowers the chances of employees getting into avoidable accidents, and your workforce can drive with confidence.
Taking this one step further, if vans or trucks will be loaded down with a product, employees need to know how to handle that extra weight while making sure they don’t damage a product by taking a corner a bit too quickly. Check to see if any special license or training is necessary for employees to legally be behind the wheel while transporting a specific type of product.
Don’t wait until the last minute to look into the right commercial auto insurance policy. If you don’t have a policy, it’s best that neither you nor your employees even crank up a commercial vehicle.