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Who needs commercial auto insurance?

Commercial auto insurance is a necessity if your business has even one employee driven vehicle. Making sure you have the proper insurance can save you thousands of dollars on accidents and possible insurance fraud.

If you are in need of a fleet insurance auto policy, you must have a company listed as the owner of all vehicles, whether it is a corporation or a sole proprietor. Fleet insurance may be used to insure hundreds of moving trucks your company owns, or the single vehicle that your company uses for the occasional delivery.

Most companies run into problems with their insurance agency when an accident happens while an employee whose name is not on the insurance policy is driving. Many insurance companies view allowing employees who are not listed on the insurance policy to a drive company vehicles as fraud.

Commercial auto insurance differs from personal auto insurance in that it does not cover items in the vehicle. If your company cars are full of company materials, such as tools or products, it is a good idea to also purchase liability insurance. Make sure to buy the proper amount of liability insurance to cover your vehicles in the event of damage, loss, or theft.

The easiest way to save money when purchasing commercial auto insurance is to hire drivers with clean, safe driving records. Having just one bad driver on your insurance can raise you premiums by as much as 10%. Many companies also offer discounts when GPS devices are installed in vehicles. GPS devices are a fairly cheap way to bring down insurance costs and it can also help you keep track of your drivers while they are out. Always make sure to update and change your policy as often as necessary to protect yourself from any potential problems.

The Insurance Agency of Dean Davis, based in Austin, Texas, offers commercial insurance for your company. They also offer home, auto, and life insurance policies to fit your lifestyle.