Commercial Auto Insurance in California

As a California business owner, ensuring your vehicles and drivers are protected is paramount. Commercial auto insurance safeguards your assets and can help protect your company from third-party accident-related claims.

Contact Dan Smith Insurance Agency, Inc. for a commercial automobile insurance quote.

Understanding Commercial Automobile Insurance

Commercial auto insurance is specifically designed to help cover vehicles used for business purposes. It can help cover delivery vans, service vehicles and company cars. It can also help provide coverage for a single company-owned or specialty vehicle, like a tow truck or food truck.

California‘s Commercial Auto Insurance Requirements

California law mandates that all drivers, including those operating vehicles for business purposes, carry minimum liability insurance coverage.

However, depending on the nature of your business and the types of vehicles you own, you may need additional coverage beyond the state’s minimum requirements to protect your assets adequately.

Commercial automobile insurance policies in California typically offer a range of policies and endorsements to suit different business needs, including the following:

• Liability coverage may help cover your business if one of your drivers is at fault in an accident that causes third-party property damage or injuries.
• Collision coverage can help pay for vehicle repairs, regardless of fault, if they’re damaged in a collision.
• Comprehensive coverage may help pay for vehicle damage caused by non-collision incidents, such as theft, vandalism or natural disasters.
• Uninsured/underinsured motorist coverage may help cover your driver’s injuries and damage to your company vehicle if it is involved in an accident with an uninsured or underinsured driver.

Factors Affecting Commercial Auto Insurance Premiums

Several factors may influence the cost of California commercial auto insurance, including the following:

• Your employees’ driving history can impact insurance premiums. Hiring drivers with clean records can help keep costs down.
• Specific industries may face higher insurance rates due to increased risk. For example, delivery companies may have higher premiums than office-based businesses.
• Your vehicle’s make, model, value and age can affect insurance costs. Newer or high-value cars typically have higher premiums.
• Higher coverage limits and additional coverage options may increase premiums and provide greater protection for your business.

Contact Us

Commercial auto insurance is an essential investment for California business owners. Understanding the coverage options and working with a reputable insurance provider can help ensure your business vehicles and drivers are adequately protected against potential risks.

Contact Dan Smith Insurance Agency, Inc. in Victorville, CA to learn about state commercial automobile insurance requirements and get a personalized commercial auto insurance quote.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.