Do you need Commercial Insurance?
When trying to figure out whether you should purchase a commercial insurance policy, you should first consider:
- How many and what kind of vehicle(s) you need to insure
- How the vehicle(s) is being used
- Who drives the vehicle(s)
- Who owns the vehicle(s)
By addressing these details, it might become clearer whether you can get by with a personal policy or if you need to sign up for a commercial one.
Generally, business-owned vehicles fall under the category of those that should have commercial insurance.
The same goes for those used for farming and the pickup or delivery of goods or people. If you own multiple, employee-driven trucks with special equipment than most likely you will need commercial auto insurance coverage.
Determine the required amount of coverage.
If you have decided to go the way of a commercial auto insurance policy, be prepared to discuss the following with an insurance provider:
• Who owns the vehicle(s)
• Weight of the vehicle(s)
• Usage of the vehicle(s)
• Liability limits requirements
While figuring out how much coverage you need, also consider details such as the vehicles’ value, what they transport, if they
have special equipment, whether they haul valuable or potentially dangerous cargo, etc. In some cases, you might only have to
purchase a policy that covers the state liability minimums:
• $15,000 for injury/death to one person
• $30,000 for injury/death to more than one person
• $5,000 for damage to property
If you’re still unsure, contact the CA DMV to determine required coverage on a case by case basis.How to purchase a Commercial Policy?
How to purchase commercial auto insurance?
Click here to get started with a free quote or call 916-773-3800 to speak with an ISU representative. We will help you tailor a policy that fits your needs.