Commercial auto insurance attempts to safeguard company-owned or previously-owned vehicles. Still, coverage for employee-owned vehicles may present more of a challenge. The standard auto insurance plan does not cover employees using their cars for company or business vehicles.

What Is Commercial Auto Insurance Cover?

Suppose your company has commercial cars like delivery trucks. In that case, commercial auto insurance can protect the vehicle’s occupants and any damages the vehicle may sustain. The essential elements of commercial auto insurance coverage could be:

  • Comprehensive Coverage: Comprehensive insurance provides reimbursement for any damages to the insured vehicle that are caused by fire, wind, lightning, hail as well as falling objects, vandalism, theft, and more.
  • Collision Coverage: Collision insurance compensates for the injuries caused to the vehicle driven by a collision vehicle or an object.
  • Liability: Liability insurance protects against the bodily injury and property damage that a driver can cause another person when operating the insured car.
  • Medical Payments Coverage: The insurance provides compensation for any injuries the driver and their passengers could sustain following an accident, regardless of the person who caused the accident.
  • Uninsured Motorist: This insurance pays for costs incurred in an accident involving a driver who does not have enough insurance.

The coverage typically applies to commercial vehicles owned by the company. If your company rents or leases vehicles, you’ll need the Hired and Non-Owned Auto Insurance

What Is a Hired and Non-Owned Car?

To protect any automobiles your business indirectly owns, you can add Hired and non-owned auto insurance to your commercial auto policy. It includes employee vehicles. Suppose an employee drives their car to work. In that case, your auto insurance probably covers neither their vehicle insurance nor their business-related driving. Suppose an employee is involved in an accident while driving their vehicle for the business. In that case, the responsibility for any injuries and damages may fall on you. It is why it’s crucial to offer additional insurance for the vehicle in the event of an accident.

It is not applicable when your employees utilize their vehicles for their commutes between work and home. In this scenario, your employees’ auto insurance policy will cover them with no assistance from your business commercial auto insurance policy. Suppose employees regularly journey, move equipment or products, or drive clients on trips in their vehicles for work. The policy will protect them in that situation. In that case, Commercial Insurance Ottawa is capable of finding the appropriate insurance for your requirements. Call (613) 454 5640 or email to get a quotation on your commercial or business insurance immediately.