Many people aren’t aware that they may have a choice between commercial or personal auto insurance policies, depending on their specific situation. While insurance carriers do have guidelines that they use in order to determine if your vehicle should be considered personal or commercial, these lines often times become blurred when using your vehicle for work purposes.
Understanding Commercial Auto Insurance
Simply because you use your vehicle to and from work does not automatically qualify you for a commercial auto insurance policy. There are several other factors to consider when thinking of a commercial auto insurance policy, but only if you do use it for more than that sole purpose.
If you transport people, products, food, or other goods, as well as if other employees use your vehicle, then your vehicle will likely qualify for a commercial auto insurance policy.
The Importance Of A Commercial Auto Insurance Policy
If you are self-employed and use your vehicle for work, it is imperative that you purchase commercial insurance. Not only is this important for your passengers’ sake, but for your business’s as well. Also, you are required to purchase a commercial insurance policy for your vehicle if it is under your business’ name, regardless if you use the vehicle, or not.
It is important to know that if you list a commercially used vehicle on your personal policy, it will not be covered, which can leave you personally responsible for things like medical bills and property damage in the case of an accident.
Often times, when a commercial vehicle is involved in an accident, lawsuits are involved. Without adequate coverage, this can cost you more than just your money, but your business, home, or any other personal assets as well.
Contact Brazelton Insurance Group today to ensure you are receiving the right coverage for your vehicle’s needs.