Finding the best rates on commercial auto insurance can be complicated and time consuming, but it can pay back your time investment quickly through lower premiums.
Shopping for and getting the best rates on commercial auto Insurance is not as complicated as it once was, thanks to the multitude of insurance offerings available to the consumer today. One hidden advantage that we often overlook is that the insurance industry has become more informed and knowledgeable overall.
Commercial automobile insurance rates can vary widely depending on the area you are in and the type of vehicle you drive. Shopping for the best commercial rates is a bit more complicated than trying to find regular auto insurance. There are some insurance companies that specialize in writing custom policies for commercial automobiles used for business.
If you have a fleet of vehicles and you need to get the best possible rates for your insurance coverage, then the best time to shop for good rates is before you purchase your fleet of vehicles. This is true in most cases because the type of vehicle you are going to insure has a bearing on the rates you will pay for insuring them. You may decide to purchase a fleet of vehicles that are cheap to insure.
The typical commercial policy covers company-owned vehicles which are used in the day-to-day operations of the business, but is not limited to just that. There are now almost as many coverage options as there are business types. You can have commercial coverage on a rented car, just as easily as you can get it for a delivery van, and you can even purchase commercial auto insurance coverage for private passenger vehicles that are used for business purposes.
Working in a busy service department where we used a fleet of vans, pickups and cars, I had to shop aggressively for the best commercial insurance rates available. The variety of vehicles in our fleet was not too complex, so the coverage options were simplified as well. Many companies have larger fleets which include many different kinds of cars.These companies have a much harder time finding low rates on commercial vehicles.
There are all kinds of unique circumstances which come into play when your fleet consists of anything out of the ordinary, and the insurance coverage you purchase has to be tailored to protect you and your company in the event of an accident or vehicle-related injury.
The first smart step in getting affordable insurance quotes for your commercial vehicles is to document the vehicles’ condition and mileage plus the type of day to day use. The more information you can present to your agent, the better they will be able to give you the best coverage at the lowest rates. The worst thing you can do is to be vague and generic with your vehicle usage information.
One of the primary differences between a commercial insurance policy and a personal one is the limits of liability, and the absence of personal liability in the event of an accident in a company vehicle. Most are written such that the assets of the company are not jeopardized if there is a serious accident or major claim against your policy. The idea is to have the right level of coverage that protects you, but at the same time keep the insurance premiums as low as possible.