21 Feb When a Personal Vehicle is No Longer Personal – 3 Signs You Need a Commercial Auto Insurance Policy

When you have a personal vehicle that you also use for business purposes, you’re essentially blurring the line. Sure, you can keep going with your personal auto insurance policy, but what happens if you get into an accident while hauling around items for your business? Or your vehicle is stolen with business supplies inside?

Clearly, there’s a lot to ponder when it comes to protecting yourself, your business, and your assets. Starting with the line of thinking that you might be better protected by a commercial auto insurance policy. Here’s how you can tell that it’s time to make the switch.

You Spend Most of Your Time Driving to Appointments

Do you spend more time driving to client appointments than you do the grocery store? Is your vehicle your main mode of business transportation? If you answered yes to both of those questions, then you more than likely need a commercial auto insurance policy, not a personal one. Your vehicle is no longer used primarily for personal use. Instead, it’s become an important business tool, and your personal policy may not cover any accidents that occur while using your car for company purposes.

You Choose to Get Commercial License Plates

There are many reasons why you’d choose to get commercial license plates. If you use your vehicle for business reasons, then it makes sense to choose these plates and register your vehicle with your company instead of yourself. There are tax breaks and more that you can take advantage of. Since you can’t get personal vehicle insurance when you have a commercially registered vehicle, this is a sign that it’s time to switch to a commercial vehicle insurance policy.

Your Employees Also Drive the Vehicle

Did you know that if your employees get into an accident while driving your vehicle, your personal insurance won’t cover any of the damage or injuries? If you have your employees as the primary drivers of your vehicle, then you’ll need a commercial auto insurance policy. One of the many benefits of this type of insurance is the fact that it provides coverage for whoever is driving the vehicle, whether it’s you or an employee. A standard personal auto insurance policy does not. If you run a business, you need to have the right protections in place.

The Difference Between Personal and Commercial Auto Insurance Policies

Since incidents, like fender benders and more major accidents that occur during the course of business use won’t be covered be your personal auto insurance policy, it’s important to have a commercial policy in place. Commercial auto insurance includes liability, personal injuries, comprehensive coverage and more, just like personal insurance. The only difference is that it covers your vehicle during business use, filling in the gaps and ensuring that an important part of your business is protected.

If you’re interested in obtaining a commercial auto insurance policy or would like to learn more about the differences, contact Spivey Insurance. Our knowledgeable agents can assist you with the business insurance coverage that you need to keep your prime assets properly protected.