Just as individuals in Massachusetts are generally required to insure any personal vehicles they own, businesses in the state usually must insure any commercial vehicles they have. Without commercial auto insurance, businesses that have vehicles are likely exposed to potential financial losses and legal consequences associated with operating uninsured automobiles.
Commercial auto insurance policies are a lot like personal auto policies, except commercial ones are designed for businesses rather than individuals. The terms, conditions and limits included in commercial policies take into account the unique situations that commercial vehicles sometimes are operated in and the increased risk exposure that businesses often face.
Most Massachusetts businesses that have vehicles which are driven for work-related purposes need business auto insurance. This may include (but isn’t limited to):
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.
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:
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:
As is true with personal auto policies, business auto insurance policies’ premiums vary a lot. In fact, they may vary even more than personal policies because companies use vehicles for so many different purposes.
Some of the factors that influence how much a particular business auto policy’s premiums cost include the:
The only way to find out precisely how much an auto policy will cost a business is to request quotes for that business.
Massachusetts businesses that would like to request quotes for commercial auto insurance policies should contact an independent insurance agent in the state. An independent agent will be able to help determine what coverages are most beneficial to a business, and they can get quotes from different insurers for policies that will provide those coverages.