Business Auto Insurance Online

Many things separate business car insurance from personal vehicle coverage, including the cost of premiums. Many assume that their regular personal policy will protect them if they use their car for business activities. The truth, however, is entirely different. Depending on the wording of your automobile policy, you may have your coverage voided if you use the car for business purposes.

If you get into an accident and only have basic liability insurance, you could be in for a legal battle, as your coverage might be invalidated. Let’s look at the basics of business auto insurance online and learn some valuable tips that could save you a lot of headaches. An example would be opening a pizza restaurant and using your private vehicle to deliver pizza for 8-10 hours daily. Compare free quotes at Goodtogo Car Insurance online. Just enter your zip code and start your quote.

Who Needs a Business Car Insurance Policy?

If you have a small or large business, haul items, and equipment, and do deliveries, you might be required to obtain a commercial car insurance policy. This will protect you if you get involved in an accident while conducting business activities. Here are some common guides that indicate you probably need to get commercial coverage.

• The automobile registration is in a business entity name
• The car is used as a Taxi
• You are involved in a ranching or farming business
• The vehicle is used in the delivery and pick-up of goods related to business operations
• The total weight of the vehicle exceeds 10,000 pounds
• Employees who are not on the policy routinely drive the automobile
• The vehicle is equipped with restaurant equipment, such as a hot dog or taco truck
• Business equipment is added on, such as a ladder rack and hydraulic devices
• The vehicle is used for home repair services, including plumbing, roofing, window washing, and so forth

One new phenomenon that has created a lot of controversy in recent years is so-called ride-sharing services. This includes people using their private cars to work full or part-time as taxis. A big issue with these services is getting the proper insurance. Many drivers do not carry commercial business car insurance, and that can mean big problems in serious crashes. The NAIC, or National Association of Insurance Commissioners, has voiced concern about drivers not having or maintaining the proper insurance levels.

The coverage gap can spell disaster in major incidents.

This includes negligence of a ride-sharing driver that results in serious injury or death to some or all passengers. A standard policy would not cover the damages that would ensue in an event like this. If you are planning on being a driver for one of these transportation services, you need to get as much coverage as you can afford, and it might be wise to get a commercial policy to protect your assets.

Farmers and ranchers will most often need commercial vehicle insurance.

They usually use heavy trucks routinely and haul livestock, equipment, and produce. In addition, employees who work on the farm or ranch will also need to be covered. Remember always to tell the truth about your actual business activity. Failing to do so could result in your policy being terminated, and you could even get sued in court.

Liability Limits for Commercial Car Insurance

As with personal insurance, commercial policies come with specific state limits. You need to make yourself aware of these limits in your state. Check with your state’s insurance department to find out what requirements you need by law. When you apply for business or commercial vehicle insurance, those limits will be higher than personal policies. A standard amount is:

• Liability – Bodily Injury: $300,000 for each person and $500,000 for an accident
• Liability – Property Damage: $100,000 of protection for damages to another party’s property

You might want to consider getting an umbrella policy that will provide further protection above your policy liability limits.

Commercial Automobile Insurance Quotes

You must select the correct type of coverage and get the best deal possible when shopping for business auto insurance online. Obtaining quotes for commercial policies is a bit more complex and will take more time. This includes the drivers’ names, license numbers, and birth dates. Also, you will need to state the type of business you are in and the estimated monthly mileage. At Goodtogoinsurance, you can compare five or more commercial quotes in less than 15 minutes. Get started on your free application and save hundreds on commercial auto insurance online.