Commercial auto insurance is a must if you or your employees use vehicles for work. While this costs money upfront, it can save you in the long run. Just one bad accident without sufficient coverage can expose your business to liability damages that could force you to close your doors. Here’s how you can save money when you shop for a business auto policy.
Hire Safe Drivers
Start by hiring drivers who are the least likely to get in an accident: those with good driving records. Just like with personal auto policies, commercial auto policies often have discounted premiums for safe drivers. In addition, you can legally check driving records when hiring for a position where operating a vehicle is part of the job description.
Protect Your Vehicles When Parked
Your personal auto policy can cost less if your vehicle is parked in a protected area when not in use. Likewise, a commercial policy may have a lower premium if your cars, trucks, or vans are parked safely. This includes a locked garage or fenced outdoor area.
If you have commercial auto insurance, you probably have multiple other business insurance policies, such as property insurance, general liability insurance, and business umbrella coverage. If you bundle these policies — that is, get them all through the same insurance company — you can save money because it’s more efficient for them.
Get Full Coverage
It sounds counterintuitive to save money by spending more, but you'll probably want full coverage commercial auto insurance, which costs more than just liability insurance. Full coverage includes liability, plus collision and comprehensive coverage. These protect you if, for example, you or one of your workers is at fault in an accident, as well as against fire, storms, vandalism, and theft.
Consider a Higher Deductible
A higher deductible — the portion of a claim that you pay out of pocket — will usually give you a lower premium (and vice versa). If you or your employees have excellent driving records, the chances of needing to file a claim are lower. However, if an accident occurs with one of your vehicles, your out-of-pocket expenses will be higher. Your agent can help you find and decide on a good balance.
Work With an Independent Insurance Agent
The independent insurance agents at Kozlowski & Associates work with multiple insurance companies, so we can offer a wide range of insurance options and help you find policies that meet your needs and budget. We provide personalized service and help our clients navigate the often-confusing world of insurance.