- If the company owns one or more vehicles, carry hired and non-owned auto liability coverage as part of your business auto policy.
- If your business does not own a vehicle, carry a comprehensive business liability policy that includes hired and non-owned auto coverage.
- Carry ample excess liability insurance coverage, known as an umbrella policy. Primary commercial liability or business auto liability policies are typically not sufficient to address the full economic risks. Umbrella policies are an inexpensive investment when you consider the amount of additional financial protection provided.
- Make sure your umbrella policy covers owned, hired and non-owned vehicles in the form of a business liability or auto policy.
- If you’re still not sure how such coverage applies to you, let’s take a deeper look.
- All vehicles owned by a business must be insured through a business auto policy.
- If your business owns more than one vehicle, you can choose different amounts and types of coverage on each vehicle depending on their individual value and utility.
Using business or personal vehicles to deliver services is a major liability exposure. Minimizing the exposure is critical and can be done by limiting the number of employees who drive on company business and ensuring that those that do drive have:
- A valid driver’s license.
- Good driving habits.
- A good driving safety record.
- Adequate auto insurance on their personal vehicle.
Take the time to assess your insurance policy as well as your assets and exposures. If you are underinsured or can identify coverage gaps, immediately make appropriate changes to your policy.
I recommend consulting with one of our experienced insurance agents who understand the exposures associated with the delivery of business services.