Owning a business in Nashville, NC, is a daily adventure with plenty to appreciate. If your business is doing well enough to own one or more vehicles, it’s important to ensure you have the right insurance for the job: commercial auto insurance. If you’re unfamiliar, allow us at Hedgepeth-Hutson Insurance Services Inc. to break it down for you.
What Is Commercial Vehicle Insurance?
As you might guess from the name, this is auto insurance for vehicles used in the workplace. If the business owns the vehicle or employee vehicles are explicitly used for work purposes, you need this coverage.
Here are a few examples of situations where commercial auto insurance arises:
- Employees delivering pizzas with their own vehicles
- Work trucks owned by the company
- A company truck doled out to employees for work use
You can probably think of other occasions that fit the bill, but you get the idea. One thing to remember is that a commuter vehicle that is owned by an employee and not used while on the clock does not need commercial insurance.
What Does It Need to Cover?
Now that you know where commercial insurance applies, how much do you need, and what does it cover?
Well, commercial auto insurance is a lot like personal auto insurance. It is designed to cover liability, and it can also cover the vehicle itself. To get more than liability, you’ll want to explore "comprehensive" coverage, which would apply to damage to the vehicle in an accident. It could potentially also cover vehicle theft and other issues.
Liability coverage is not optional. North Carolina requires minimum coverage for personal injury and property damage liabilities. You can have more insurance than the minimum, but the amount you need by law is $30,000 per person per accident and $60,000 per person per accident for bodily injury liability. You also need $25,000 per accident for property damage liability.
If your business in Nashville, NC, needs commercial auto insurance, your Hedgepeth-Hutson Insurance Services Inc. representative can help.
