San Diego Commercial Auto Insurance

Local business owners who use their vehicle for business activities, such as driving to work sites or meeting clients, delivering goods, hauling tools or supplies, or who have staff who drive the vehicle, need commercial auto insurance.

With commercial auto insurance coverage, you can protect your company vehicles (cars and trucks) from property and liability risks, as well as any of your workers who drive their own cars while working for you. So, whether your company has one car or a fleet, you need to make sure you have the proper plan that fits your needs and reduces your potential loss in the event of an accident.

This covers self-employed people and independent contractors (even part-time). However, whether or not you own the vehicle, if you routinely use it for work, it is your employer’s responsibility to insure it for work-related driving.

Commercial Auto Insurance Usually Includes; 

  • Physical damage and collision protection
  • Comprehensive coverage
  • Liability coverage
  • Gap insurance
  • Rental reimbursement
  • Optional add-ons for even more security
  • Medical payment and lawsuit coverage

Benefits of Having Commercial Auto Insurance

  • Protects your business.
  • Commercial auto insurance provides medical payments and property damage related to an accident.
  • Meets any lease requirements of rental or purchase agreements,
  • Provides peace of mind for employees.
  • When it comes to using commercial auto insurance, there is some flexibility. It’s possible that your company’s vehicles are cars, vans, buses, or even motorcyclists.
  • Includes any legal costs of a covered loss.
  • Meets State and Federal requirements.

What Is The Difference Between Business And Personal Auto Insurance?

There are a few important variations between personal and commercial auto insurance, even though many of the areas they cover are comparable or the same. Personal auto insurance, with the exception of a commute, does not cover losses suffered while traveling for business. Commercial auto insurance covers insured losses from business or commercial operations. This can also include special equipment attached to the commercial vehicle.

If you use your personal vehicle for work reasons the majority of the time, you’ll require commercial auto insurance. Other factors that will compel you to drive a business vehicle are:

  • Making deliveries
  • Ridesharing
  • Transporting of any kind for commercial purposes

How Are Commercial Auto Premiums Determined?

Each insurance company has a slightly different rating approach. But commercial auto premiums are generally based on:

  • Type of vehicle
  • Number of vehicles on the policy
  • Driving history of everyone on the policy
  • Value of vehicle
  • Any special attached equipment
  • Location, distance, and states covered while driving

Personal Use of Company Vehicles

There are various techniques to reduce your risk of responsibility while your workers are on business trips, whether they are driving company vehicles or their own personal vehicles. It is critical to establish a clear company policy that sets guidelines for using personal vehicles at your firm. This is especially true if you pay your staff for driving time or if they use their own automobiles for business regularly.

This company policy can contain rules for maintaining personal automobiles used for business reasons. Your firm is still at risk if an employee does not maintain their vehicle appropriately. Some carriers now provide a complimentary vehicle monitoring device that you can install in the vehicles of your employees. These technologies can track your location and driving habits to help you manage your company’s exposure.

For more than 29 years, Wayne McCormick, CIC, and owner of McCormick Insurance Solutions, has been serving the insurance needs of San Diegans for their auto, home, commercial, motorcycle, boat, RV, and more. San Diego Commercial Auto Insurance and General Liability Insurance from McCormick Insurance – Call now for a quote 619-276-0492.  Or you can email Wayne McCormick at [email protected].