How to determine the type and amount of coverage your company vehicles need
If you’re the owner of a small or medium sized business that operates with a fleet of vehicles, you know just how dependent you are on them. Whether you provide a service, like AC installation and repair, plumbing, a cleaning or catering service or any other kind of business, if any of your vehicles are down, your company could suffer losses. So a key to keeping your fleet up and running and protecting your business against any risks is having the right amount of coverage. Here’s an outline of the recommended insurance for your fleet:
Crucial to protecting your company, employees and your fleet, this type of policy is usually required by law in most states. It will cover any damages as the result of an accident, whether caused by your driver or not, and includes things like minor or major injuries, damage to the vehicle and the expenses associated with the accident.
Having coverage for property damage is a vital element to your fleet insurance and will protect you if your vehicle is involved in an accident that causes damage to someone else’s property. This portion of your policy will pay for any damages, repairs or replacements needed as a result of the accident.
It’s a good idea to make sure your policy includes coverage for medical payments in the event that someone is injured while in one of your vehicles. With this type of coverage, the injured parties would be covered for any medical bills associated with the event. Benefits should include the driver of your vehicle and any passengers that may be riding in your vehicle.
Physical Damage Insurance
In the event that one of your vehicles sustains damages, this type of insurance will protect you and cover the cost of needed repairs. It’s a necessity for any business operating with a fleet, especially those that use leased vehicles. There are different levels to choose from when it comes to physical damage insurance:
- • Comprehensive coverage: the most coverage, for an extensive array of events
- • Collision coverage:specifically for collisions and rollover accidents
- • Specified peril:protection against specific hazards like fire and theft
This is an important type of coverage and may be required in some states. And because you are operating a fleet, your risk of having an accident or issue with an uninsured motorist is greater simply because of the number of vehicles you have out on the road. With uninsured coverage, your policy will pay for any damages or injuries to your driver and your vehicle in the event that the other party involved has little or no insurance.
Whether your fleet is made up of sedans, vans or trucks, having the right amount of insurance coverage is a necessity and will ensure that your business continues to be successful. If you’re unsure about your coverage or are looking for a policy that will ideally suit your fleet, contact Avante Insurance today.