Business Auto

Any business can face a loss as a result of owning, renting, using, or loading/unloading a vehicle.

Business Auto policies are designed to cover your exposure for the ownership of vehicles, or your use of hired or non-owned vehicles for the company.

Knowing Your Risks and Your Drivers

Auto losses can be extremely damaging. Driving generally can't be avoided, but deciding whether a business should take on the risk of owning vehicles should be a decision made carefully and for more than accounting or sales incentives.

If an employee is using their own vehicle for business purposes, their policy will respond first in the event of an accident and will defend the business until the limits are exhausted. Once the employee's limits are exhausted, the business' non-owned coverage will respond to defend and pay damages on behalf of the company only. It's important to know what limits your employee's are carrying and whether that coverage is adequate for the risk.

If the business is providing automobiles to employees, the business policy will respond to any losses first. Careful consideration should be given to which employees should be given automobiles and what parameters will be placed on their use.

It's equally important to know who your drivers are. There are mechanisms to gather motor vehicle information on your employees and these reports should be reviewed annually.

For more information on Business Auto Policy please contact us.