Many business owners use their personal vehicles for their business operations, and contractors are no different. However, in doing so, you are inadvertently exposing yourself and your business to risks. Unlike personal auto insurance, commercial auto policies are crafted to include higher coverage amounts and offer different purposes for coverage. Let us take a closer look at the difference and necessity of Lake Tahoe Commercial Auto Insurance.
While they may seem very similar, insurance companies view them as very different. According to esurance, personal policies are written with the average private citizen and their needs in mind, while commercial policies are designed to address the unique needs and situations that arise in commercial use.
As a contractor, you likely have gear on board your vehicle to support the business- some of which might be permanent. If your vehicle weighs over 10,000 pounds or if the load capacity is over 2,000 pounds, this requires a commercial auto policy. Otherwise, in the event of an accident, your personal auto insurance carrier may reject your claim.
In addition, if you primarily use your vehicle for business purposes, your personal policy might become void in the same circumstances. Therefore, it’s important to discuss your eligibility to carry commercial insurance with your trusted representative to avoid this worst case scenario.
A commercial auto insurance policy will allow more flexibility with your business’s needs, as well. For example, any auto component allows your coverage to be extended to any future business vehicles you purchase. Next, there’s the option of reimbursing you for rental cars and even protecting you and your employees while driving vehicles that are not owned by your business.
At Cal-Nevada Insurance Agency, we offer a variety of business solutions to protect your operations year round. Our comprehensive policies can be custom tailored to meet your specific requirements at competitive rates. For more information, contact our experts today at (866) 670-5948.