Commercial Auto Insurance
Businesses that rely on vehicles for their operations should consider purchasing a commercial auto insurance policy. Certain federal or state laws may mandate that commercial vehicles and drivers have adequate commercial auto insurance.
If you need commercial auto insurance or want to ensure your business is in compliance with applicable regulations, contact Williams Finance and Insurance today.
What is Commercial Auto Insurance?
A commercial auto insurance policy can help cover the costs (e.g., damaged property and/or medical expenses) of an auto accident that may be caused by you or another employee.
Generally, commercial auto coverages include liability, collision, medical, comprehensive and uninsured/underinsured motorist coverage.
There are additional coverages a business may need to add to their commercial auto insurance coverage.
Our agency can help you review your business’s insurance needs and ensure you have the appropriate coverages.
What Does Commercial Auto Insurance Cover?
Commercial auto insurance comprises various coverages, including:
- Liability coverage may provide repair costs for the other person’s vehicle or property. It also can provide coverage for the legal fees associated with a lawsuit for personal injury.
- Comprehensive coverage can provide complete protection for damages unrelated to an accident, such as losses related to theft, floods, vandalism and fires.
- Collision coverage may cover vehicle repair costs if an insured vehicle collides with another vehicle or object. Collision insurance may also help replace a totaled vehicle.
- Medical payment may provide coverage for passengers and the driver when there is a need for medical care resulting from an accident.
- Uninsured motorist coverage provides bodily injury coverage if an uninsured driver hits a business’s vehicle and injures its driver and passengers. Some uninsured motorist coverage also covers damage to the company vehicle.
- Underinsured motorist coverage provides coverage if an underinsured driver hits a business’s vehicle and injures its driver and passengers. Some underinsured motorist coverage also covers damage to the company vehicle.
Policy endorsements may be available to your business to help round out your policy. Add-ons may include roadside assistance coverage, towing reimbursement, hired non-owned coverage, rental reimbursement and gap coverage for auto loans or leases.
How Much Does it Cost?
Auto insurance premiums can differ significantly between drivers. By understanding the factors that affect these costs, you can make more informed choices and potentially reduce your insurance expenses.
Elements That Influence Auto Insurance Premiums
The following are some key elements that insurers may consider when determining the cost of auto insurance:
- Driving record— Your driving record is a crucial element. Drivers with a history that is free from accidents and traffic violations usually benefit from lower premiums. On the other hand, a record of accidents or traffic tickets can result in higher rates.
- Age—Statistically, younger drivers, especially teenagers, are more likely to be involved in accidents, leading to higher premiums.
- Location— Where you live can significantly impact your insurance costs. Regions with higher traffic congestion and crime rates typically face higher premiums than rural areas.
- Vehicle type— The make, model and year of your vehicle may affect your insurance rates. Expensive cars and vehicles with high repair costs typically have higher premiums. Safety features and the car’s likelihood of being stolen may also play a role.
- Credit score—In many states, insurers use credit scores as a factor in determining premiums. A higher credit score often translates to lower insurance costs, as it is seen as an indicator of financial responsibility.
- Coverage and deductibles—The level of coverage you choose and the amount of your deductible directly influence your premium. Comprehensive coverage with low deductibles will cost more than basic coverage with higher deductibles.
- Mileage—The more you drive, the higher the risk of an accident. Insurers may offer lower rates to drivers with lower annual mileage.
Learn More
Contact Williams Finance and Insurance to discuss ways to save on your auto insurance policy.
How to Get Commercial Auto Insurance
If your business needs commercial auto insurance, we’re here to help. Contact Williams Finance and Insurance today for a quote or to discuss your commercial auto insurance needs.