​Commercial Auto Insurance vs Personal Auto Insurance

Unsure whether you need a personal auto or commercial auto insurance policy? Below are a few considerations when deciding which type of insurance policy best suits your needs.

Who Owns and Drives the Vehicle  
If your business owns your auto, you most likely need a commercial vehicle insurance policy. If you are sole owner of the company, you may only need personal auto insurance. The type of insurance policy you need depends on what you use the vehicle for and how often you use it.  

How the Vehicle is Used
If your vehicle is used for business purposes, most individuals need a commercial auto insurance policy.  If, however, you are a sole owner traveling to a couple of job sites a day or only use your company car for commuting, you may only need a personal auto policy.

The Type and Weight of the Vehicle  
If your work vehicle is heavier than a traditional pickup or SUV, such as a tow truck, dump truck, or 18-wheeler with a commercial trailer, you will probably require a commercial vehicle insurance policy. Heavy-duty vehicles typically cause more damage when involved in an accident and often require special insurance coverage.

Required Business Liability Limits
If your business by trade or clients require higher liability limits, you will generally need a commercial vehicle insurance policy.  Commercial vehicle insurance policies generally offer higher limits than personal auto insurance policies.

How do you determine if you need auto or commercial insurance?
Personal auto insurance policies limits generally provide high enough auto insurance coverage for some businesses, particularly if you drive your vehicle for personal use.  However, if you require specific commercial auto insurance coverages, high Liability limits (limits exceeding $300,000), operate an a unique vehicle, haul heavy or special equipment, transport people or goods, or have additional special needs, then you will want a commercial vehicle insurance policy.

COMMERCIAL VEHICLE COVERAGES
Liability Coverage is essential coverage that includes injuries or damage you cause to other people or property if you're at fault for an accident.

LIABILITY
Bodily Injury - Property Damage - Uninsured Motorist - Driver protection
These four coverages can help pay for your medical expenses if you or your passenger(s) are injured while driving a commercial vehicle.

Medical Payments - Personal Injury Protection  - Pet Injury Coverage - Vehicle protection coverage

Protects your investment against damage to your vehicles caused by collisions and a wide array of additional mishaps that can happen to your vehicle.

Physical Damage - Collision - Comprehensive - Individual Named Insured Endorsement - Fire and Theft with CAC

LARGE TRUCKS
Large trucks share many of the same insurance coverages as other commercial vehicles, here is where's it gets more specific to trucks.

Non-Trucking Liability - Trailer Interchange - Motor Truck Cargo - Motor Truck General Liability - Rental Reimbursement with Downtime - Specialty coverage

Some businesses occasionally need specialized protection in addition to basic liability and truck damage coverage.
Any auto - Non-Owned Car - Hired auto - Drive Other Car - Single Deductible Endorsement - Tow specific coverage are a few examples.

TOW SPECIFIC TRUCKS
While tow trucks share many of the same coverage as other commercial vehicles.  Tow-specific coverage is geared towards tow trucks are
Garage keepers Legal Liability Insurance - On-Hook Towing Insurance 

Still need help deciding?  Call Kelly Lee Insurance and allow one of our experienced commercial vehicle insurance agents to guide you. 

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Commercial vs. Personal Auto Insurance Policies, commercial truck insurance Lake Charles La, large truck insurance Lake Charles La