What does business auto insurance typically cover?
Business auto insurance, also known as commercial auto insurance, provides coverage for vehicles used for business purposes. Mynatt Insurance Agency, Inc. provides business auto insurance in Carrollwood, Tampa, Temple Terrace, Westchase, Greater Northdale, Lutz, FL and surrounding areas.
This is a breakdown of what it typically covers:
- Liability Coverage: This is the most basic coverage and is legally required in most states. It covers damages and injuries that you cause to others while operating your business vehicle. This includes bodily injury and property damage liability.
- Collision Coverage: This coverage pays for damages to your vehicle if it’s involved in a collision with another vehicle or object, regardless of fault. It typically covers repair or replacement costs up to the vehicle’s actual cash value.
- Comprehensive Coverage: This coverage protects your vehicle from damages not caused by a collision, such as theft, vandalism, fire, or natural disasters like floods or storms.
- Medical Payments Coverage: Also known as MedPay, this coverage helps pay for medical expenses for you and your passengers if you’re injured in a covered accident, regardless of fault.
- Uninsured/Underinsured Motorist Coverage: This coverage protects you if you’re involved in an accident with a driver who doesn’t have insurance or whose insurance is insufficient to cover your damages.
- Non-Owned Vehicle Coverage: If your business involves employees using their personal vehicles for work purposes, this coverage extends your auto insurance to cover those vehicles while they’re being used for business activities.
- Hired Auto Coverage: Similar to non-owned vehicle coverage, hired auto coverage provides liability protection when you rent or borrow vehicles for business use.
- Loading and Unloading Liability: This coverage protects your business if goods or equipment are damaged during loading or unloading from your commercial vehicle.
- Towing and Labor Costs: This coverage reimburses you for towing and labor costs if your business vehicle breaks down or becomes disabled.
- Rental Reimbursement Coverage: If your business vehicle is damaged and needs repairs, this coverage helps pay for the cost of renting a temporary replacement vehicle.
- Custom Equipment Coverage: If your business vehicle has custom equipment or modifications, this coverage helps cover the cost of repairing or replacing them if they’re damaged.
Remember, the specific coverage options and limits can vary depending on the insurance provider and your business’s needs. It’s essential to work with an insurance agent to tailor a policy that adequately protects your business vehicles and assets. If you need assistance, we’re just a phone call away.
