If your business utilizes vehicles or is looking into utilizing vehicles, you’re not alone. According to experts, the commercial vehicle market is projected to reach 621.1 billion dollars in value by 2023. Business vehicles are great for transporting goods or people where they need to go and when they need to get there. However, you assume a certain amount of risk when utilizing vehicles for commercial purposes. This makes having commercial auto coverage absolutely paramount.
What Is Commercial Auto Coverage?
Commercial auto coverage or commercial auto insurance is a type of insurance coverage that is designed to protect business owners from the financial consequences of an incident involving a business vehicle/s. Commercial auto insurance has higher limits and more comprehensive coverage when compared to personal auto insurance. This helps to address the higher risk levels that commercial vehicles are exposed to.
How Much Does Commercial Auto Coverage Cost?
The cost of commercial auto coverage can vary widely. There are many factors that come into play when an insurance company is deciding how much to charge you. Some of these factors are:
- Your location
- Your driving history
- Your claim history
Utilizing vehicles for business purposes can be a game-changer but is not a risk-free endeavor. Commercial auto insurance can help everything run more smoothly.