California Commercial Auto Insurance

Even when you’re on the road, your business still needs to be protected

It’s easy to think of your business as the building you work in, the brick and mortar store you open each day or even your home office. In reality, wherever you or your employees do business — including on the road — you’ve got to protect yourself, them, and your company.

As a business owner, you have to think about how vehicles are used to keep your company running.

It’s not just the companies that own fleets of cars that need coverage. If you or your employees drive a vehicle for any business-related reason, IBW can help you select the right California commercial auto insurance policy.

Reasons to Purchase a California Commercial Auto Insurance Policy

• You own one company vehicle or a fleet of them.
• You or your employees use your personal vehicle for business purposes including running errands, making deliveries, or traveling to and from other locations.
• You drive to your clients and customers wherever they may be located.
• You travel with customers and clients in an automobile.
• You and/or your employees travel between job locations in a vehicle, rented or owned.
• Your company provides courier and delivery services.
• Your vehicle has permanent toolboxes and racks installed for business purposes.

What Does Commercial Auto Insurance Cover in California?

The type of California commercial auto insurance policy you choose depends on the type of vehicles you have, what they’re used for, and your exposure to risk out on the road. If you and your employees only occasionally drive a vehicle for errands or a rare trip to a business conference, you have different needs than a company with a full fleet of vehicles for deliveries or work on job sites.

The available coverage is similar to your personal auto insurance with a few additions for the unique needs of a business.

• Liability
• Bodily Injury
• Property Damage
• Collision
• Comprehensive
• Medical Payments
• Hired/Non-owned Vehicles

As a California business, your commercial auto insurance policy can be customized and tailored to suit your specific needs. There’s no need to purchase coverage that doesn’t apply to you or your company.

Companies that don’t own vehicles often don’t think they need commercial auto insurance. They usually find out how wrong they are when someone gets into an accident. Yes, even the errand to the office supply store counts as business-related. If you or your employees get into an accident, your business may be found liable, depending on who caused the accident or where the vehicle is being driven.

While there’s no requirement in the state of California for business to carry liability insurance, there’s also no cap on the amount someone could be awarded in a liability lawsuit. Your general liability insurance coverage will help your business if you’re sued. You likely will not be covered for punitive damages for negligence or willful misconduct, though.

If you’re just starting out, make sure insurance coverage – including liability – is part of your business plan. Budget for it now so you open your virtual or real doors already protected from whatever happens.

For established businesses, it’s important to reassess your coverage every year or so. If you haven’t thought about your policy in years, it’s time for another look. The worst time to find out you don’t have enough insurance coverage is when you have to file a claim.

You’re so careful with every other aspect of your business. Don’t let this detail slip through the cracks. Work with an IBW agent to find the perfect California commercial auto insurance policy for your business needs and risk. Contact us today!