There are a few differences between business car insurance and personal car insurance even if it isn’t that noticeable when the same driver uses the car for both personal and business purposes. If there’s only one driver, many car insurance companies suggest the business owner to buy a regular personal insurance for the car rather than a limited business car insurance. But, on the other hand the special business car insurance might be useful because of a certain specialized coverage that can be provided in this case.
For example, if you are the owner of a small logistics company that delivers goods between a sender and a receiver, the car that makes the delivery possible might be driven by different persons at different moments of time and also, the package transported can be hazardous containing a fragile item or a chemical substance. As a result if a car accident occurs while transporting such a package, having special business car insurance will save you a lot of trouble, because the content of these packages can have a negative impact on other people as well as on the environment.
So, if I convinced you of the importance of business car insurance, I would like to let you know about the necessary steps that will help you buy the policy. First of all you should locate an insurance company that has some experience in the field and is able to help you protect your business. You could try asking for a referral from your usual car insurance company to a business car insurance company that could be an affiliate or a partner company.
As in the case of any other car insurance you get to choose the level of protection you desire. The company drivers will be protected by liability coverage while the company vehicles will need property damage insurance. The level of insurance depends on your choice, but considering that protecting an investment is of the essence, many business owners would rather pay the larger payout rather than the maximum ones. The best business car insurance will ensure that the company won’t be sued by a third party because it’s unable to cover the expenses.
Once you have finished with all those choices you need to select the drivers that will be mentioned on the policy. Those drivers don’t have to posses their own car insurance, but it’s important that they have a driver’s license and a clean driving record. You should always choose reliable individuals that have proved to be safe drivers over the years.
Business Car Insurance
Purchasing road assistance is another step you should take, because it’s not recommended to ask your employees to change, for example, a tire. That’s because they might get hurt in the process and the company will be held responsible for their injuries. Don’t count on the capabilities of the employee and include this type of coverage in your business car insurance policy because it’s important to take care of the people you work with.
Last, but not least, if at any given moment one of the company’s drivers has to use his personal vehicle at work, the company will be responsible for the driver’s protection. If anything were to happen to the driver during company time, the company will have to cover the damages. That’s why the business car insurance you purchase can include special coverage for these kinds of situations.
Business car insurance can prove to be as important as the personal car insurance. The same rules apply and your choices will decide the monthly payments. But it’s not the time to be cheap!
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