You need commercial auto insurance for any vehicle that your company uses for business purposes, any vehicle that has a commercial license plate or tag, and any vehicle that is registered as a commercial auto.You must also get commercial auto coverage if your employees will be driving or using vehicles in the course of doing business, whether making deliveries, driving people to the airport, or running errands on behalf of the business.

The national average monthly cost for commercial auto insurance shows the coverage to be very reasonable, but remember, your policy will be based on your business, drivers, and vehicles.

Business Auto - such as cleaning services, restaurants and shops - have an average cost of $165 a month.

Contractors - such as carpenters, electricians, landscapers and painters - have an average cost of $164 a month.

These averages are based on new industry premiums for commercial auto policies that met the following criteria:

- Both primary liability and physical damage coverage were present
- All drivers had clean driving records

Remember that these are averages and not necessarily what you’ll pay. The only way to know your exact cost is to get a quote. Just call us or start a custom quote online.

Several risk factors contribute to your premium including your profession, coverage needs, vehicles, drivers, driving history and location. Learn more about what influences your cost and what you can do to get the cheapest commercial auto insurance.

An accident doesn’t affect the rate of your current policy, but it could affect your rate when your policy is renewed. Your policy is rewritten every time it expires to reflect your current situation. Accident-related rate changes are determined by various factors such as who was at fault, the cost of the claim and your accident history. So, accidents are considered when determining your rate, but an increase isn’t guaranteed.

Maybe. Deductibles apply whenever your policy’s collision or comprehensive coverages are used, regardless of who is at-fault. If the at-fault party was insured, we’ll attempt to recover your deductible from their insurance company. If they didn’t have insurance, we’ll attempt to collect it directly from them. Either way, the process of recovering your deductible from the other party is called “subrogation”.

Yes, most likely. Most personal auto insurance policies won’t cover losses that occur while delivering for a fee. This includes pizza delivery and most other delivery services. If you don’t have a commercial policy on your vehicle and you get into a work-related accident, your claim might be denied and you could be held personally responsible for the damages. A commercial auto policy can prevent this from happening.