Commercial auto liability insurance seems to be a forgone conclusion for businesses—why wouldn’t you have it? In fact, you might be thinking, “who doesn’t carry insurance for their fleet?” Unfortunately, business owners may not be aware of the coverage they can carry and all the circumstances they should consider. When you work with the team at Aura, you can uncover the policies that will serve your clients and allow you to manage their insurance needs properly.
Before we consider the 10 reasons why you need commercial auto liability coverage, let’s look at what’s at stake and who is involved.
10 Reasons Why Your Business Need Auto Liability Coverage
These issues merit your immediate attention, and your clients should not continue running commercial vehicles until they are all covered appropriately according to local laws and the client’s needs.
- Accidents involving commercial vehicles can be far more costly than those involving personal vehicles.
- Commercial vehicles may carry merchandise or tools that could be damaged or destroyed.
- Personal vehicles must be covered under a commercial auto policy or risk the loss of the driver’s personal coverage.
- A business could be bankrupted or several hindered by one successful claim.
- Commercial vehicles must be repaired at little to no cost to save the business money.
- Business cannot leave drivers to deal with accidents alone.
- Commercial vehicles that never leave the premises must be covered at a level that supports severe injury or loss.
- Commercial auto programs can be adjusted to meet the needs of special vehicles a business uses.
- An umbrella coverage or business owner’s policy cannot possibly cover everything, including your client’s vehicles.
- Commercial auto coverage includes legal support that specializes in accidents such as these.
Why Does A Business Fleet Need Insurance?
In 2019 alone, fatal crashes involving large trucks rose a few percent, surpassing 5000. Moreover, large trucks (up to and including your box trucks, flatbeds, etc.) account for 10% of all vehicles involved in fatal crashes.
If a client’s business runs small sedans and hatchbacks, they have the same concerns. There were more than 32,000 fatal car accidents in the U.S. in 2019 with more than 12 million vehicles involved in some type of accident. In short, businesses need insurance because they’re using American roads along with more than 220 million other motorists—accidents happen, and brokers need to be ready.
What Should Commercial Auto Liability Insurance Cover?
You need as many options as you can find. At Aura, we have a massive range of coverages in our program that will help you protect your clients. As their broker, you can unfurl a range of options that give businesses value instead of covering them and walking away with a commission.
Commercial auto policies should cover company vehicles, but you must also remind clients that they need commercial coverage for personal vehicles they use at work. Clients might also want to offer commercial coverage for employees who use their personal vehicles at work—at the very least, they can recommend your agency when employees must upgrade their coverage.
Aside from covering collision loss, comprehensive loss, uninsured motorists, bodily injury, rental reimbursement, and property damage, look at who needs this sort of insurance. You will find many ready clients working in unique sectors of the economy, including those:
- Driving clients to the airport or around town
- Driving for sales calls
- Delivering packages to a shipper or client
- Handling personal shopping
- Handling food deliveries
- Transporting hazardous goods
- Transporting sensitive or expensive equipment
- Towing other vehicles
- Delivering vehicles to a client
Contact Us for Assistance With Commercial Auto Liability Coverage
Contact our team at Aura for assistance with your commercial auto liability coverage. We are happy to review your current coverage, answer your questions, help bolster your policy, and represent your insurance needs going forward. A little help can go a long way when your business runs a fleet of vehicles.