Commercial Auto

What is commercial auto insurance?

Commercial auto insurance covers vehicles your business owns, leases, or uses for work, protecting against liability, collision, and other damage that a personal auto policy won’t cover once a vehicle is being used for business. It applies whether you’re running a single company truck or a full fleet.

Who needs it

If your business owns a vehicle, or employees regularly drive for work, deliveries, client visits, hauling equipment, you likely need commercial coverage. A personal auto policy almost always excludes business use, so relying on one can leave you without coverage exactly when you need it most.

What it covers

• Liability coverage for injuries or property damage you’re responsible for while driving for work
• Collision and comprehensive coverage for damage to your own vehicle from an accident, theft, fire, hail, or vandalism
• Uninsured/underinsured motorist coverage, in case the other driver doesn’t carry enough insurance
• Hired and non-owned auto coverage, for rented vehicles or employees using their own cars for business errands
• Coverage for multiple drivers and vehicles under one policy, useful once you’re running more than one company vehicle

How it’s different from personal auto insurance

Commercial auto policies are built for business risk: higher liability limits, coverage that extends to employees driving company vehicles, and protection for vehicles used to transport goods, equipment, or clients. Personal auto insurance almost always excludes business use entirely, so using a personal policy for work driving can mean a denied claim right when you need it.

What it typically doesn’t cover

• Personal, non-business use beyond what’s specified in your policy
• Cargo or goods in transit, unless you add cargo coverage
• Physical damage to a vehicle you don’t own, unless you’ve added hired/non-owned coverage for it