No one can call car insurance as a “one size fits all” agenda. What will work for one business owner will not for others! Also, you have to learn your way to get around the best way to deal with car insurance the hard way. There are trial and errors that can help people save money on their car insurance premiums. However, it is also essential to be aware of the shortcuts.
Simply put, car insurance is a huge business proposition for several business companies. Based on the legal codes, every car should get covered. Sometimes, even business owners whose cars are parked for over 95% of the time should get a policy. And this is where most business owners look out for the expert car insurance tips.
What business owners should know?
The line between personal life and work gets faded the moment you have a small business. It might also make financial decisions complicated, which comprises of type of auto insurance quote you should opt-in for! The most pertinent question is this – is it best to opt-in for a commercial or personal car insurance policy? The best answer for this is depends on your car and the way you are or decide to use it. Even though a personal car policy can offer coverage for specific business uses, it is certainly isn’t sufficient to make use of the car only for business.
Are you a small business owner and are about to consider a car insurance quote? If yes, you need to be aware of the two following factors.
Personal auto insurance policy exclusions
Do you make use of your car for a part-time small business? If yes, you will require commercial insurance. The personal car policies do away with the coverage for specific business use, for instance transporting the customers for hire or delivering products.
A sole proprietor catering business owner will have zero coverage when making use of a personal car policy just in case she/he had an accident during food delivery hours. The element of “livery exclusion” in the personal car policies is the reason for which the ride-sharing drivers ensure that car hire companies offer ample coverage during working hours. Also, the personal car insurance policies usually don’t cover the vehicles owned by business owners. If you have employees who drive the business car for business purposes, you need to consider a commercial car policy for your small business.
The added cost is worth it
Usually, people end up paying more for a commercial car premium than a person one! It is because of the increased liability limits and higher risks that commercial car insurance policy is meant to cover. However, the added security is worth every bit of the cost, when you make use of the car for business purposes.
There could be an accident when the driver has violated the car insurance policy terms, providing products making use of a car insured on personal insurance policy. In such a situation, the car insurance company has all the scope to deny claims. The business owner needs to fix the car on his/her own. And if there are other damages included, then the ones affected could target your assets.
The ideal way to figure this out is by getting in touch with a car insurance agent. That way you can decide on the car insurance policy which is apt for your small business and also opt-in for the best car insurance quotes.