Commercial Auto Myths: Debunked


Business owners of all types utilize vehicles for commercial services. Whether you own a delivery company, commute regularly between clients, have one commercial vehicle or a fleet, you need the right Commercial Auto Insurance policy. However, there are many misconceptions surrounding commercial auto coverage, and many believe it’s a one-size-fits-all policy. This couldn’t be further from the truth, and we’re here to dispel any rumors you might have heard to ensure you are adequately covered.

Myth #1: All insurance companies are created equally.

Sure, the same basic principles hold true, but that doesn’t mean every company is the same. To start, not all companies offer 24/7 service. If your business is one that entails your drivers being up all hours of the night, you might need to invest in a company that goes to work for you round the clock. Regardless, your insurance company should make you feel at ease and make sure you get the information and service you need when you require it.

Myth#2: All my employees are covered while driving company vehicles.

In many cases, only named drivers are covered while operating your company vehicles. If you’re going to trust an employee behind the wheel, ensure they have a clean driving record! If you want to make sure all of your employees are covered in your company vehicles, be sure to request this with your insurance provider.

Myth #3: I can save money by canceling on the off-season.

If your business is seasonal, you might have weighed your options and considered canceling your commercial auto policy and reinstating it back during operating times. While you might think you’re saving money, this can actually cost you more. Rather than paying for the coverage year-round, you might experience a price increase if you try to reinstate your policy during peak season.

Remember, the vehicles that do not run during the off season are not protected if you cancel your commercial liability insurance policy. This means that if there’s any theft, vandalism, hail storm, or natural disaster damage to your vehicle, you will not be able to claim even a single dollar for repair work. Hence, it is vital for you to choose a comprehensive policy that does cover your business auto; even in your off-peak periods, explains Quote Pie. Instead of canceling, speak with your trusted agent about switching to liability only coverage during the off months.

About Preferred Insurance

At Preferred Insurance, we specialize in providing quality insurance solutions that are tailored to your specific needs. We pride ourselves on working with you to give you the coverage you need at a price you can afford. For more information about our business line products and services, contact our experts today at (877) 547-4461.