Commercial auto insurance is mandatory for vehicles used for business purposes. This includes any vehicle used in the operation of a business, such as a taxi, bus, or delivery van. This coverage is not the same as regular auto insurance. The options are different for commercial vehicles, and coverage for non-commercial vehicles is not sufficient.

You need this coverage if you use vehicles for business-related tasks. A commercial vehicle is used more often and more intensely than a non-commercial vehicle. This is why commercial coverage offers more coverage for collision, theft and property damage.

This is a great way to protect your business. Auto accidents and damages can cost thousands of dollars. With the proper insurance, your business can continue to operate as the insurance company pays the expense.


As with traditional auto insurance, liability insurance is the most basic type of coverage for commercial auto insurance. Property damage covers damages that occur because of one of your vehicles. A bodily injury policy covers damages made to people, such as passengers, other drivers, and bystanders.

For better coverage, you should purchase a more extensive policy that extends beyond liability. For instance, equipment breakdown coverage is for commercial vehicles that gain hundreds of miles on the odometer every week. This coverage is important for businesses that heavily rely on their vehicles.