What is commercial auto insurance?
Operating vehicles comes with certain risks no matter who you are. Personal auto insurance often isn’t able to protect businesses against the risks that they face when using vehicles. For Massachusetts businesses, there’s commercial auto insurance.
Commercial auto insurance is specialized vehicle coverage for businesses. Coverage is most often purchased for vehicles that a business owns, but can insure vehicles a business uses yet doesn’t own.
Which businesses should purchase business auto insurance?
Most Massachusetts businesses that own or use vehicles are required per state law to carry at least some business auto insurance. Much more than what the state minimally requires is broadly recommended.
Because almost any business that has or uses a vehicle likely needs business auto insurance, policies are purchased by lots of different small businesses and large companies. For example, all of the following might need a policy:
- Restaurants providing delivery services
- Taxi and limousine services
- Emergency response services
- Local and regional delivery services
- Contractors owning trucks or vans
- Moving companies
- Waste disposal companies
- School districts
This list is by no means exhaustive, as many other businesses also need a policy.