Commercial vehicle insurance provides coverage for a wide range of risks and liabilities that can occur during business-related vehicle operations. As mentioned, the specific coverage options may vary depending on the insurance provider and policy, but common areas of coverage offered by comprehensive insurance include:
- Liability coverage: this can protect businesses from legal and financial obligations arising from bodily injury or property damage caused by a business-owned vehicle (which isn’t already covered by CTP insurance where applicable). This can be capped at a set amount, such as $50 million.
- Damage to your vehicle: the cost of repairs or replacement for a business-owned vehicle can also be included in your policy coverage. this can be for a range of reasons, including damage due to weather (such as hail or flood), fire, theft or other malicious incidents.
- Third-party property damage: on top of damage to your vehicle, you can also insure yourself against damage caused to another individual or business’ property.
- New vehicle replacement: this aspect of coverage can replace your old vehicle for a new one if it’s written off, usually if it occurs within the first two years of purchase. Other conditions may apply to this, so it’s important to check with your insurer if you’re unsure.
- Uninsured/underinsured motorist coverage: you can be covered when a business-owned vehicle is involved in an accident caused by another driver without adequate insurance coverage. It ensures that businesses are not left to bear the costs of repairs in claimable circumstances.
- Cover for personal effects, accessories and tools of trade: on top of the vehicle itself, you can be covered for certain personal items, accessories or tools which are damaged or stolen in a claimable event (up to a set limit as determined by your insurer).
You may also be able to add optional extras such as no-excess windscreen replacement and rental vehicle coverage while your business’ vehicle is being repaired or replaced.
By having commercial vehicle insurance, businesses can mitigate financial risks associated with accidents, damage, or liability claims that may arise during their operations.
It’s crucial to carefully review policy details and consider a range of offers before you buy your policy, which you can do right here through Savvy online. Simply tell us a bit about yourself, your vehicles and the cover you’re looking for and you’ll be able to start the comparison process with instant quotes from our trusted insurance partners.