What is Commercial Auto Insurance and Does Your Business Need it?

If your business involves a fleet of vehicles, performs deliveries, or operates construction vehicles, you will need to purchaseMaryland Commercial Auto Insurance commercial automobile insurance. Bear in mind that there are many reasons to shop for commercial vehicle insurance policies for myriad types of businesses and you will need to check with a trusted insurance agent to see if it is necessary for your particular circumstance. Commercial auto insurance is not the same as personal automobile insurance.

The benefits of a commercial auto insurance policy is that it offers the business owner a way to shield his/her company from liability as it relates to any damage to property or another person while an employee is working on the employer’s behalf. If your employees are conducting business on your behalf and are using either your vehicle – or their own personal vehicle – you could be opening your business up to a costly and protracted lawsuit if you are not properly covered under a commercial vehicle policy.

You can reach out to us so we help you determine the best way type of coverage for your business’s individual needs. Many employers opt for a blanket coverage policy under which all of the drivers of the fleet vehicles will be covered. Bear in mind that the insurance company will likely perform underwriting investigations before issuing a policy and this will involve the insurer requesting driver information on all those who will be operating the fleet vehicles. The drivers will be “rated” for the vehicles and those with poor driving records can drive your insurance premiums up.

If you’re looking for ideas on how to lower the price of your annual premiums, many business owners purchase policies with high deductibles. Keep in mind that a high deductible will lower your premium but make certain your business has the money in its budget to cover the deductible in the event of an accident or claim. When you’re shopping for insurance you will want to shop for service as well as price and you will want to know that your agent will be available when you need him or her.