Does Your Florida Business Need Commercial Auto Insurance?
Florida business owners who use a car or truck in the routine operations of their business should protect themselves and their company from liability related to fleet operations by buying fleet insurance that is also called commercial auto insurance. A fleet is made up of one or more vehicles.
What Does Commercial Vehicle Insurance Cover?
The coverage offered to business’ through commercial vehicle insurance or fleet insurance is similar in many ways to protections found in your personal auto insurance and includes liability, collision, comprehensive, medical payments and uninsured motorist coverage. Following are some reasons why your business may need a commercial insurance policy:
- You transport people or goods for a payment
- Your vehicle is used to provide a service
- Your vehicle has an increased weight in tools and equipment or tows a trailer for business use
- Employees use vehicle or vehicle ownership is in the name of your company
There are many businesses use and types of vehicles that are excluded from personal auto policies. To be sure you have the right coverage in Florida contact Dimmit Insurance, the go-to independent insurance agency for fleet insurance and other business insurance.
Commercial Auto Insurance typically offers the following coverages:
- Bodily injury liability coverage – financially protects you and your business in the event of bodily injury or a fatality arising from an accident for which your company is at fault. In most cases, this coverage also provides your company a legal defense.
- Property damage liability – gives you protection if a company owned vehicle accidentally causes damage to someone else’s property. As with bodily injury liability, this protection also usually offers a legal defense.
- Combines single limit (CSL) – rather than having separate limits for property and personal injury or a limit on the number of people injured by your company, CSL offers the same dollar amount of coverage for a covered incident.
- Medical payments, no-fault or personal injury coverage – Provides for medical expenses of the driver and passengers in your vehicle because of a covered event no matter who is at fault.
- Uninsured motorist coverage – covers medical and often property damage if your company vehicle is involved in an accident with an uninsured driver or a hit and run driver.
- Comprehensive physical damage – offers financial protection for your vehicle for damages to it from theft, vandalism, fire and other covered risks.
- Collision damage – pays for your company’s vehicle damage when it hits an object or an object hits it.
What are The Benefits of Commercial Auto Insurance?
When you buy commercial auto insurance there are 4 key benefits. They are:
- The limits you can purchase are usually higher than personal auto insurance
- Commercial auto insurance also covers business equipment you may carry with you such as surveyor’s tools, demo computer equipment or catering equipment.
- You and your employees are protected if involved in an at fault accident
- If you lease any commercial vehicles, commercial auto insurance helps you stay in compliance with your lease terms for insurance.
Tips Concerning Fleet Insurance
Following are some tips to help you get the most from your fleet insurance policy:
- Every employee who is empowered to drive a company vehicle must be listed on the company’s commercial auto insurance policy.
- Rates are determined by risk. Make sure that hires have clean driving records before you offer them a job. One driver with a poor driving record can increase fleet insurance rates by 10% or more
- Fleet insurance does not cover personal items stolen from a fleet vehicle. Likewise, company owned items such as tools, products, sales materials and other things in the vehicle will not be covered by fleet insurance, but speak to your insurance advisorabout obtaining coverage for these.
- Keep vehicles well-maintained to ensure safe operation – keep records too
- Drivers should do a vehicle walk-around before leaving the premises to make sure that the vehicle is in good condition, no broken lights, tire pressure is correct and more
More and more businesses are turning to Dimmit Insurance for all their commercial insurance needs including commercial auto insurance. Call us today, toll-free at (866) 763-6627.
Sources:
http://www.4autoinsurancequote.com/learning-center/fleet-auto-insurance-explained/
https://www.trustedchoice.com/commercial-vehicle-insurance/coverage-types/fleet/
https://www.geico.com/information/aboutinsurance/commercial/
http://www.insproviders.com/blog/4-key-benefits-of-commercial-auto-insurance.aspx