Money Saving Tips When Buying Commercial Auto Insurance

Insuring assets and investments is a must — especially when you depend on them to earn money. This is why commercial auto insurance is important. 

Commercial auto insurance provides a car owner with protection for vehicles — may it be cars, trucks, or van — that are for official business usage. The insurance may be for a single vehicle, but it can also cover a fleet of vehicles, as long as they are for business. Types of coverage may be adjusted according to the needs of a particular business or what the vehicle is being used for. 

commercial auto insurance companies have specific limits and amount when it comes to coverage, but they usually include property damage liability, personal injury (to you or the driver using the vehicle, as well passengers of the vehicle), and collision coverage, among others. 

There are ways to ensure that you spend appropriately if you need to get a commercial auto insurance. As with any type of insurance, you will need to shop around and ask different commercial auto insurance companies to know you are getting the best deal — and the right one for your specific needs. Here are some tips on how you can save money when you buy commercial auto insurance: 

Shop around

This really cannot be emphasized enough: make sure you have canvassed other coverage plans before you settle and pick one. Many say you should at least talk to three commercial auto insurance companies. This way, at the very least, you will have a good idea what these companies can offer, allowing you to compare and look for better deals. 

Consider your drivers

Because of the nature of this insurance, companies will also evaluate your drivers; the coverage is for business, after all, and it’s possible you won’t be the only one driving the vehicles being insured. Companies will look at the history of your drivers to see if they are liabilities (or are likely to figure in a vehicular accident). The company will base their premiums partly on your drivers’ history. 

When hiring drivers, check their history first. You can also ask your possible hires for information about their previous accidents and other road-related issues. Insurers would prefer you hire drivers who have Commercial Driver’s Licenses. 

Deductibles

As with any type of insurance, commercial auto insurance also has deductibles — or the out-of-pocket payment you pay for particular coverage. The bigger your deductible is, the smaller the monthly premium is. However, you run the risk of having to spend a lot on out-of-pocket payments when you encounter a need for your insurance coverage. Gauge your need and evaluate what you can afford in terms of deductibles so you won’t end up on the losing end of the stick. 

There are more ways to save money when dealing with commercial auto insurance companies, but perhaps the best tip to follow is to know what you need and how much you can pay (on both monthly premiums and deductibles). You need commercial auto insurance — it’s just a matter of making sure you pay for only what you need and nothing else.

Do you own a fleet of vehicles and are you looking for commercial auto insurance companies? Check out www.carinsurancecompanies.co for tips, reviews, and how-to articles.