Key Variables to Assess When Researching Commercial Auto Insurance

Business owners are constantly searching for ways to improve their services and stay ahead of the competition. Perhaps you are implementing commercial auto services to attract more clients. Driving is dangerous whether you are driving for personal or professional reasons.

Research shows that millions of people are injured in car accidents every year. That’s why purchasing commercial auto insurance is legally required for businesses that offer auto services in most states. However, finding the right commercial auto insurance may be complicated due to the unique needs of your business. To help alleviate stress and make things easier, here’s a look at some key variables to consider when researching commercial auto insurance.

6 Key Variables You Need to Assess While Finding Commercial Auto Insurance

  1. Updated Information

    Insurance companies want to view the most recent information when calculating your quote. This is also important advice to remember when comparing commercial auto insurance quotes as well. It’s recommended that you look at the most recent rates being offered. Keep in mind that each carrier has different policy guidelines. Insurers will inspect your driving record and the quality of your fleet.

  2. Your Deductible

    Your commercial auto insurance deductible is an important variable to consider. Your policy deductible is your upfront costs toward a covered loss before your insurance covers the remaining balance. Opting for a higher deductible lowers your monthly premiums. Opting for a higher deductible is recommended if you and your employees have safe driving records and are unlikely to be involved in any accidents. If you are involved in a high-risk industry, it’s recommended that you opt for a lower deductible.

  3. Location

    Insurers will assess the areas where you’re operating your business. If your business provides service in a high-traffic area, you’ll pay higher premiums. Driving around highly populated areas increases the likelihood that you will be involved in an accident. Highly populated areas such as big cities also have high crime rates compared to rural areas, which also influences your commercial auto insurance premiums.

  4. Types of Vehicles Insured

    One of the most important commercial auto insurance variables is the type of vehicles being insured. Insurers will analyze your vehicle’s year and model while calculating the rate. Insuring a fleet of older vehicles will be more affordable than insuring a fleet of high-end luxury cars.

  5. Types of Coverage

    The amount of coverage in your commercial auto insurance policy also impacts your premiums. Perhaps you decide to add special coverage to your policy that covers some of your employees who occasionally use their personal vehicles on the job.

  6. Potential Discounts

    Qualifying for multiple discounts can help lower your commercial auto insurance premiums. It’s recommended that you encourage your drivers to complete a safe driving course, which may lead to a potential discount. You may also qualify for a discount by installing updated safety features on your commercial vehicles. Obtaining your Commercial Driver’s License can also help you receive a discount.

Consult with Family Financial Insurance Group to Get the Best Commercial Auto Insurance Policy

Learning about these commercial auto insurance variables should help you find the right commercial auto insurance policy. If you have any questions regarding coverage, contact the team here at Family Financial Insurance Group, and we will assist you.

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