For New Jersey business owners who either own a fleet of cars, or send employees on errands that involve driving a car, New Jersey commercial auto insurance policies cover those increased liability risks that arise from incidents that may occur during their daily business operations. After all, you would be liable for any damages from an accident if your company happens to transport goods or people and injuries can be extremely costly in most instances.
Consider the fact that, if you own vehicles specifically used for work, or equipment belonging to your business that you haul in your own vehicle, having commercial car insurance will help you to insure all those items, along with the vehicle itself. In addition, you can file claims on each piece of equipment while only having to pay a single deductible.
Who needs commercial car insurance?
Many companies use cars and trucks as part of their daily business, but never consider having a commercial auto policy because the extent of vehicle usage is on a smaller scale, or they think the liability concerns aren’t worth the cost of a policy. Think again, because you may need commercial car insurance if any of the following is true:
- Your vehicles are used for pickup or delivery of goods, including supplies, materials, food items, or for messenger services
- Your vehicles are used for limousine, taxi service, or other livery service
- Your vehicles are owned or leased by a partnership or corporation
- Your vehicles are registered or titled to a business, corporation, partnership, or DBA
- If any employees or non-listed drivers drive any of your vehicles on a regular or occasional basis, or
- If any of your vehicles has a gross weight exceeding 10,000 pounds, or have a rated load capacity over 2,000 pounds
This includes vehicles used for cooking or catering, having bathrooms, altered suspensions, or hydraulic lifts, just to name a few. It’s important to carry coverage if any type of vehicle is used during the course of a regular work schedule, because a business can be forced into bankruptcy from one serious or fatal accident.
The differences between commercial and personal car insurance
The main distinctions between New Jersey commercial auto insurance and personal auto insurance basically lies in the extent and purpose of coverage, but most notably increased liability risks. Speak to an agent about any questions or concerns in regards to this valuable coverage.