This article was reviewed for actual accuracy by Brian Halbert CFP
commercial cable car insurance is a special policy that is normally required if you own a commercial enterprise vehicle or if you frequently use your car for company purposes. It is designed to cover all expenses, damages, and injuries caused by an accident during working hours or while running a business. Auto insurance policies are generally grouped into three types : collision, liability, and comprehensive examination .
The price of a commercial car policy policy may vary depending on how much your clientele uses your vehicle, the produce and model of your vehicle, and the size of your fleet. In this scout we discuss the average cost of commercial car indemnity .

How Much Does Commercial Auto Insurance Cost? $600 to $2,400 per car

The average cost of commercial auto insurance will run between $ 50 and $ 200 a month for the majority of small clientele owners– about $ 600 to $ 2,400 per annum. That is for each commercial car they have insured.

Your commercial car insurance cost will depend on a issue of variables. Your specific combination of factors will make your commercial car insurance cost per calendar month alone to you .
Melanie Munson of says that you should expect to pay a bit more than you do for your personal car policy .

Average Cost of Commercial Auto Insurance by Car Type

Another big factor in commercial car policy cost is the kind of fomite you need to insure. Every vehicle is different, and they all have their basal determination. That will affect the price of insuring it because what you need that kind of vehicle for will dictate the kind of incidents likely to occur. here are some examples of vehicle types and the median cost of commercial car policy you can expect to pay for each :

Car Type Min. Annual Cost Commerical Auto Insurance Max Annual Cost Commercial Auto Insurance
Car $600 $2,400
Semi $8,000 $12,500
Cargo/Delivery Van $3,300 $6,200
Limo $4,000 $6,000
Cab $5,000 $10,000

hera are some other cost guides related to occupation car policy :

How Much Does Commercial Car Insurance Cost by State?

According to Sarah George of your rates will be influenced by the country you live in because some states require higher levels of insurance coverage than others. traffic and larceny rates around your address besides play into your risk besides .
California for exercise requires $ 300,000 in combined indebtedness for most small commercial vehicles, but $ 750,000 for vehicles over 10,000 pounds.

Each state has a minimum measure of commercial car policy coverage you need. The higher the minimal coverage, the higher the minimal price. here ’ s what you should expect to pay in a handful of states :

State Min. Annual Cost Commerical Auto Insurance Max Annual Cost Commercial Auto Insurance
Maine $489 $1,268
Florida $2,565 $3,370
Oregon $1,136 $2,205
California $574 $1,804
Minnesota $983 $2,271
Texas $890 $2,594
Montana $641 $2,525
Michigan $5,282 $8,723

furthermore, even within a state there can have large variations in price. The difference between paying for the minimum sum of coverage you need and paying for entire coverage can be in the thousands so the price ranges quite a morsel .

What Influences the Cost of Commercial Auto Insurance?

commercial car indemnity costs tend to be higher than personal car policy coverage. That ’ second because the factors that influence your commercial car indemnity costs are more detail. besides, a occupation is more overt to indebtedness than an individual is .
A commercial car insurance cost calculator can give you a adept theme of what you ’ ll pay, though it won ’ triiodothyronine be precisely accurate. here are some factors that influence the cost of your commercial car policy policy :

  • Make, model, and year: The kind of vehicle(s) you’re insuring will change the price. Generally, the larger the vehicle, the higher the cost to insure it due to the damage it can inflict in an accident.  
  • Cost: The cost will influence how much the car would be to repair or replace.
  • Driving records for all covered drivers: Drivers with more previous accidents will cost more to insure.
  • Vehicle uses: The more you do with it, the more insurance will cost. If you haul expensive things, they have to cover damages and if you travel long distances it will wear down quicker.
  • Previous claims: The more claims you’ve filed in the past the more you’ll have to pay.  
  • Type and extent of coverage: The more your policy covers the more it will cost.
  • Number of vehicles: The more vehicles they have to cover the higher their risk.

Do You Need Commercial Auto Insurance?

Any vehicle you use for business purposes should be covered under a commercial car policy. other than simply driving to and from oeuvre, any business-related job you use your vehicle for may not be covered by your personal car indemnity policy. A effective rule of thumb is if you ’ re on the clock, whether that ’ s driving to meet clients, deliver goods, or visit properties, you ’ ll need commercial coverage. Sometimes it ’ randomness hard to tell if your vehicle use is covered by personal car insurance or not sol be careful .

Commercial Auto Insurance vs Personal Car Insurance

Your personal car policy policy will typically cover any personal use of the fomite while any commercial enterprise or commercial use will require commercial car coverage. There are situations where your use of the fomite may fall close to the bleary wrinkle that separates the two policies though. hera are some examples :
Personal Car Insurance:

  • Commuting to your job
  • Bringing personal items to and from the office
  • Driving a work friend home
  • Dinner with coworkers

Commercial Auto Insurance:

  • Delivering goods to customers
  • Driving for Lyft
  • Regular long drives to work sites or clients
  • Carrying heavy equipment or work tools

Final Thoughts

If you aren ’ t certain if you need commercial car insurance, talk to an indemnity agentive role and go over the details. It ’ second constantly good to tune on the side of caution though. If your vehicle use is on the line somewhere, it ’ sulfur better to get a commercial policy so you don ’ t end up without coverage when you need it most .

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