In the evolution and growth of your business, commercial insurance needs to also grow in parallel with it. Owners who do not, over time, periodically reevaluate their situation and relevant insurance parameters may be unaware that they are putting their company and employees at serious risk for various seen and unforeseen consequences. Businesses that have begun to increase the size of their commercial auto fleet or that are putting more miles on the odometer as a consequence of work-related activities are prime examples.
Many owners of companies, both big and small, seem to be unaware of when a commercial policy for their auto fleets will be a requirement and, conversely, when certain options may be avoided. Generally, all business proprietors should be mindful that commercial auto coverage is necessary at all times a company or private vehicle is used in any kind of task related to his or her employees. This can often appear unclear at first, but those who do not acquire or keep in effect a commercial policy could be saddled with all the expenses as a result of some unexpected occurance as ultimately it is you, the business owner, who is fully responsible for any and all court-ordered fees, losses, etc., as a result of a lack of coverage.
If any vehicle is utilized as transportation for cargo or personnel for a fee, both the driver and the car or truck need to have commercial policy coverage. Even those with personal insurance who are not covered commercially will be in violation of law while operating a commercial vehicle. Equally important, if an employee uses a vehicle to haul and/or tow company property, such as product, equipment, or tools, this will be in violation unless there is a commercial policy covering the vehicle, its driver, and the passengers.
While these examples may appear obvious to some, many owners of businesses still do not obtain a policy under these aforementioned conditions. That all being said, there is an exception and that is when an employee drives to and from work. Here a commercial auto policy is not required unless he or she use their own car to pick up and deliver office supplies, conduct business with clients, transport product, or engage in any kind of business oriented service. In these cases, any and all accidents, with or without injuries, will be covered under the limits of the commercial auto insurance policy. Remember, the goal is to protect your business and its assets.