Agent, Rural Mutual Insurance Co., Union Grove, WI
Because most personal auto insurance policies will not provide coverage if the the vehicle is used for business. Having the proper coverage types and amounts will help prevent you from being financial exposed should an accident occur. Please contact a local agent to have them provide you with the types of coverage available in your area and the costs aasociated with them.
This is just to help flesh out the above answer. The two basic thresholds for getting a commercial auto policy.
1. You have a type of legal business entity in place (e.g. Corporation, S-Corp, Partnership, LLC) and you want there to be a company car; OR
2. You are doing business as an individual and you have five or more automobiles associated with the business.
While that is easy, it gets more difficult if you do not own the company, but are merely and employee or agent and you are using your personal automobile for business purposes. The business will have to add an endorsement to its Commercial Auto Policy to cover other owned vehicles, so you have coverage. However, the limits associated with liability on your companies Auto Policy might not be high enough to cover you in a serious accident. Here is where you will have to coordinate your personal auto liability coverage with your companies liability in order to make sure you are adequately covered.
Business Development Officer, T.D. McNeil Insurance Services, Fresno, California
Because the exposures that a business vehicle has are different from those of a private car, the personal lines auto policy excludes business coverages. A commercial policy normally covers a fleet of vehicles with multiple drivers. It also provides coverage for those occasions when an employee uses their own car in pursuit of your business. The commercial policy anticipates the exposures that are a part of conducting a specific business.
.JPG){kind=avatar}
1. You have a type of legal business entity in place (e.g. Corporation, S-Corp, Partnership, LLC) and you want there to be a company car; OR
2. You are doing business as an individual and you have five or more automobiles associated with the business.
While that is easy, it gets more difficult if you do not own the company, but are merely and employee or agent and you are using your personal automobile for business purposes. The business will have to add an endorsement to its Commercial Auto Policy to cover other owned vehicles, so you have coverage. However, the limits associated with liability on your companies Auto Policy might not be high enough to cover you in a serious accident. Here is where you will have to coordinate your personal auto liability coverage with your companies liability in order to make sure you are adequately covered.
Hope this helps.