What Businesses in Massachusetts Need Business Auto Insurance?
Most Massachusetts businesses that have vehicles that are driven for work-related purposes need business auto insurance. This may include (but isn’t limited to):
- Contractors who have company vehicles
- Taxicab and limousine companies
- Snowplow companies and landscapers
- Trucking companies
- Auto garages that have tow trucks
- Restaurants that offer delivery services
Businesses like these normally must carry an auto policy that at least meets the state’s minimum requirements. In many cases, businesses choose to purchase much more coverage so they’re better protected. There are a number of reasons to own a commercial auto insurance policy in Massachusetts. Contact us today to make sure you aren't exposed without one!
What Coverages Does Commercial Auto Insurance Include?
The coverages included in business auto policies are frequently similar to those included in personal auto policies, although there may be some minor tweaks. Some of the coverages that might be included in a business auto policy are:
One of the most important things to understand about commercial auto insurance is what coverages are included. This type of policy helps protect your business from financial losses that can result from an accident. Coverage can vary, so it’s important to understand what your policy includes.
Typically, a commercial auto insurance policy will provide coverage for:
Bodily injury and property damage to others: This coverage helps pay for the costs associated with injuries or damage to others caused by an accident involving your vehicle.
Medical expenses: If someone is injured in an accident involving your vehicle, this coverage can help pay for their medical expenses.
Underinsured or uninsured motorist coverage: This coverage can help pay for your damages if you’re involved in an accident with a driver who doesn’t have insurance or doesn’t have enough insurance to cover the costs of the accident.
Collision coverage: This coverage can help pay to repair or replace your vehicle if it’s damaged in an accident.
Comprehensive coverage: This coverage can help pay to repair or replace your vehicle if it’s damaged in a non-accident-related event, such as theft or natural disaster.
In addition to these coverages, there are many add-ons that insurers offer to enhance business auto policies’ protections. These add-ons vary from insurer to insurer. Some examples of ones that any given insurer might offer include:
- A Broader “Who is an Insured?” Provision, which may extend certain liability protections to any subsidiary companies your business owns
- Temporary Substitute and Leased Vehicles Coverage, which may cover other vehicles that are used while your business’ primary ones are being repaired
- Personal Effects Coverage, which may cover personal effects drivers keep in company vehicles
- Lease or Loan Gap Coverage, which may cover the difference between company vehicles’ fair-market values and the balances on the vehicles’ leases or loans
- Sound System Coverage, which may offer additional coverage for premiums sound systems (e.g. those in some limousines)
- Hired Automobile Coverage, which may extend property and liability coverage vehicles your business rents
- Non-Owned Automobile Liability Coverage, which may extend liability coverage to employees’ personal vehicles that they use for work-related purposes
How Much Do Business Auto Insurance Policies Cost?
The cost of a business auto insurance policy will vary depending on a number of factors, including the type and size of your business, the types of vehicles you use, and the amount of coverage you need. However, there are some general trends that can help you estimate the cost of your policy.
On average, a business auto insurance policy costs between $500 and $2000 per year. However, this estimate can vary widely depending on the aforementioned factors. For example, a business that uses large trucks or vans for deliveries will likely pay more than a business that uses smaller cars.
When shopping for a policy, we will compare rates from several different insurers for you. Ask your insurance agent about discounts that may be available, such as those for businesses that have a good safety record or that use vehicles with safety features like airbags and anti-lock brakes. Our team is ready to help!
By taking the time to research your options and find the right policy, you can rest assured that your business is well protected in case of an accident.
How Can Businesses in Massachusetts Get Commercial Auto Insurance Quotes?
Massachusetts businesses that would like to request quotes for commercial auto insurance policies can do so using the form below. One of our agents will be able to help determine what coverages are most beneficial to a business. They will get quotes from different insurers for policies that will provide those coverages, and present them to you so you can decide which is the right policy for your business.
