Types of Commercial Auto Insurance Coverages

• Liability Insurance: Liability insurance is the foundation of any auto coverage, and is required by law in most states. If you are at fault in an accident, liability covers the costs of resulting third-party bodily injury, property damage, legal bills, medical bills, and even lost wages. One single accident could result in multiple injuries, property damage, and a lawsuit, which is why adequate liability coverage is so important for your business.
• Comprehensive: Not all vehicle damage is the result of an auto accident. Comprehensive coverage will pay for damages to autos from theft, fire, falling objects, natural disasters, vandalism, or even an impact with a deer. Comprehensive protects you from repair costs due to events you never saw coming.
• Collision and Comprehensive: Adding collision coverage to your comprehensive protects your autos from even more scenarios, even if you’re at fault for the damage. If you’re responsible for an accident, liability coverage pays for the damage to the other vehicles involved. If you want to have your own autos repaired, however, you’ll need collision coverage. Collision helps pay for repairs and replacement costs if your car is damaged in an accident, crashes into an object, or is rolled over.
• Medical Payments: Who will pay for your medical expenses, or for the medical care for your passengers in the event of an accident? When you have Medical Payments (MedPay) coverage, you won’t have to worry about the high cost of your medical bills if you are in an accident. MedPay covers the expenses that can arise from accidents when you’re driving your car, driving someone else’s car, and even passenger or pedestrian injuries, no matter who’s at fault for the accident.
• Uninsured/ Underinsured Motorists: Auto insurance may be required in most states, but that doesn’t mean every driver on the road is adhering to the law. If you are involved in an accident with an uninsured driver, you could be left footing the bill. What if another driver has the bare minimum insurance coverage, and the coverage falls short of your expenses? In either situation, uninsured/ underinsured motorist coverage can help make up the difference so you don’t pay the price for someone else’s inadequate coverage.