I have a vehicle that my staff and I use for our business, can you enlighten me about business vehicle insurance?

Monty

Nashville TN

It is mandated by law that you must have a business vehicle insurance if you and your staff use an automobile for business and work. Even if the car used for business is your own, a private insurance policy is not enough. Furthermore, a private insurance will usually get invalidated when your car is used for business.

Your business vehicle insurance should cover all automobiles that your business owns, including employee vehicles used for business and fleet vehicles. There are several levels for a business vehicle insurance depending on how the car will be used.

If you use your car for business as well as for personal use, you may have to get a “class one” insurance policy.

If you plan to have your employees drive your cars for business use, you may have to extend your insurance policy to “class two.” This level of insurance policy will cover the other drivers who will be using your cars for business.

However, if the car will be intensively used mainly for commercial traveling, that is traveling from one place to another to look for or take care of customers, then you may have to further extend your vehicle insurance policy to “class three” policy.

Further moving up to the classification, businesses may have the need to purchase a “commercial vehicle insurance” for automobiles that will carry cargo, freight or people as the main operations of business. Among those businesses that will have to acquire this type of vehicle insurance are those in the cargo transport business, tow trucking business, package delivery services, among other things.

Last but not the least, a “fleet insurance” is needed for those businesses that have at least five assorted vehicles to be used for business purposes. If you are just beginning to setup your business and you project that you will have to own a fleet of cars, you may have to think about buying a fleet insurance. This is more applicable for business owners of taxi operations, among other businesses.

Having an insurance for your business vehicles may cost you money, but it is very essential for your business.

I am planning to acquire a life insurance plan but I am getting anxious about taking the medical exam. Is there an available life insurance with no medical exam instead?

Adamson

Fullerton NE

Yes. There are available insurance companies that offer life insurance with no medical exam, especially online, to their potential clients. However, these kinds of life insurance policies may be more expensive than the regular ones.

The main reason why life insurance companies require their clients to undergo a medical exam is to determine how much premium to charge the client. If an insurance company has determined through the medical exam that you are more likely to live long, they would charge you with a lower premium since you will be around longer to make premium payments. On the other hand, if the company has assessed you to likely die at an early age, it will charge you with more premiums so that they could collect more from you at early stages of your policy year.

As for life insurance with no medical exam, the company offering it is getting a great risk to give you the insurance coverage by just relying on your disclosure about your health and medical conditions. All you have to do is to truthfully answer a few health questions that can be completed in just a few minutes. Your answers will help the life insurance company determine whether you will be eligible for the insurance coverage. Life insurance companies online offer varying amounts of coverage from $5,000 to $500,000. The monthly premium depends on your current age, among other things.

Some people prefer buying the life insurance with no medical exam because it is convenient and speedy. They will be fully covered within a few minutes after answering the health-related questionnaires as long as they are eligible for the insurance policy. It is that fast and easy. In addition, for those who keep on postponing their purchase of the life insurance because they don’t have time for the medical exam, the no exam plan is a good option.

Why is a commercial vehicle insurance quote higher than typical vehicle insurance quotes?

Henry

New York, NY

The main difference between a commercial vehicle and a regular vehicle that raises a commercial vehicle insurance quote is RISK. A commercial vehicle insurance quote is higher than typical vehicle insurance because there is more risk involved in a commercial vehicle. A commercial vehicle is used for business operations, usually for goods delivery or personnel transport, so it is often on the road and possibly used by several drivers. Such being the case, a commercial vehicle is potentially more likely to get into accidents. Since they may carry valuable products, they may also be more likely targets of theft. A regular personal vehicle, on the other hand, is relatively used less often; usually simply to drive to and from work. So a regular personal vehicle carries less potential risk.

Another reason why a commercial vehicle insurance quote tends to be higher is because this type of insurance is usually designed to cover a number of cars. Unless it’s a really small home-based business, most car insurance companies expect a fleet of at least three cars that need coverage.

When considering the level of coverage for commercial vehicle insurance, it is often advised that business owners take into account possible lawsuits against their business that may result if any of their company vehicles cause an accident. This factor also raises a commercial vehicle insurance quote.

I’ve just started my own business for which I have purchased a reliable van to help me make deliveries. In the past, I have only had to get car insurance for my sedan, which is mainly for personal use. I would like to know how a commercial van insurance is different.

Kenny

Billings, MT

A commercial vehicle is defined by its purpose; Buses, taxis and vans specifically for the transportation of goods are considered commercial vehicles. In your application form for vehicle insurance, you are likely to be asked what the purpose of your van is. In this case, you must absolutely be honest and indicate that your van is for business.

Now, why get insurance? For one thing, it is a state requirement for every driver to have vehicle insurance – liability insurance at the minimum. But particularly, commercial van insurance must be obtained because vans for business ferry goods of value. A good coverage would protect the assets of any entrepreneur. Moreover, vans make easy targets for auto theft. This increased risk necessitates protection in terms of vehicle insurance.

Of course, Kenny, you can expect the monthly premium for commercial vans to be greater than cars for domestic purposes. Generally, the actual market value of a van may be higher. The mileage might also be greater. Both are important factors that affect what we all pay for car insurance premium.

Even though it is not mandatory, it would be wise to go with a comprehensive coverage. This way you are prepared for more eventualities that might lose your business a lot of money. There are some insurance companies in Montana that cater specifically to vans or business vehicles. Check them out and go shopping!

I have a small home-based business. Right now I am confused whether to avail of personal vehicle insurance or commercial vehicle insurance? Can anyone help me?

Tina

Biloxi, MS

Tina, you forgot to include in your query a very important thing so that I could answer your question as properly as possible. That is the nature of your business. You see, the nature of your home-based business would highly affect your decision in choosing between personal vehicle insurance or commercial vehicle insurance.

For example, if your home-based business offers delivery service, you might want to consider purchasing commercial vehicle insurance. This is also highly advisable, number one: if you have a fleet of delivery vehicles; and number two: if you are expecting a great influx of job orders for delivery.

On the other hand, if your business does not entail you being on the road that often, I think that personal vehicle insurance would already to suffice to cover your insurance needs. An example is if you are a freelance real estate broker who would only be using your vehicle at a minimal amount of time.

Now, the most important thing you should remember is that in choosing the best vehicle insurance for your business, you should make a careful approximation of how frequent your vehicle is going to be on the road. Always remember that a vehicle that is always on the road is more exposed to vehicular accidents, and high exposure to accidents translates to higher vehicle insurance premium.

I am getting an insurance for my commercial vehicle and I don’t know how to look for the best one. Any tips in shopping for the best insurance policy? Thanks

Mildred

Sacramento, CA

Getting commercial vehicle insurance is just like getting insurance for any other vehicle. You need to figure out the risks that your vehicle faces. If the vehicle is at risk of theft, then go for a theft coverage. If your fear that your vehicle may get stolen, run into a road accident, or damage another property, then go for a comprehensive insurance plan.

Once you figured out the needs of your vehicle, then you need to look for a commercial vehicle insurance quote. You can easily find one by logging in an insurance comparison website that helps you compare rates and features of insurance policies of various insurance companies. You may opt for the cheapest commercial vehicle insurance quote, but you should also put premium on the features of the commercial vehicle insurance plan before purchasing it. Remember that the cheapest commercial vehicle insurance quote is not always the best choice, since it may lack the features you need for your vehicle.

Once you determine the best insurance policy for your vehicle, contact the broker or agent of the insurance company who can help you in processing your insurance application.

I know that getting a commercial van insurance is required by law, but what are the benefits I can get by getting one?

Joshua

Oklahoma City, OK

It may seem like another burden to entrepreneurs like you, but getting insurance for your commercial van can give you a lot of benefits. This kind of vehicle insurance covers many accidents that you may run into such as loss of keys, damage and breakage, replacement of windows, legal costs, accident recovery, among others. It can likewise help you if you need to rent a van or another type of vehicle in case one of your commercial vans breaks down. Obviously, these are accidents that you are likely to run into, so it is very practical for you to get a commercial van insurance.

There are plenty of insurance coverage options that you can get for your van. Remember to do your research when looking for a cheap commercial van insurance. You can do so by searching online for insurance comparison websites and comparing insurance quotes. You should also look carefully into the features of each insurance policy and compare them against each other before deciding which the best coverage for your commercial van is.

There are a lot of things you can get from a commercial van insurance. Being a part of your business investment, you should always protect these vans as a part of your company’s security as well.

Is it advisable to obtain commercial auto insurance quote online or from local companies?

Lucille

Pittsburgh PA

In obtaining a commercial auto insurance quote, you must get that kind of information from as many companies as possible, which means both online and insurers from your area. Going online is convenient and fast. You will only need to fill up a few short forms and afterwards you already have the commercial auto insurance quote you need. Online calculators are quick and convenient but they cannot provide you with the most accurate figures for your insurance needs.

This is the advantage of local companies. With local companies, you can talk to their insurance agents and discuss your needs before they will issue a commercial auto insurance quote. What you should do is to combine these two sources of information so that you get the best deal in the end. This will also provide you with an opportunity to check which among the online quotes and those from the local companies are nearest to one another. If you find out that online quotes are quite reliable and accurate, you will know where to go next time you need an insurance quote. Another use of online companies is for you to know right away the discounts and promos they are currently offering to their customers and prospective clients.

What are the things to look out for when getting comercial vehicle insurance?

Jonathan

Gulfport, MS

Comercial vehicle insurance is something very basic for your business. In many ways, it is similar to personal car insurance, but only up to an extent. You must understand and know these elements to make an informed judgment on your comercial vehicle insurance.

There are two mandatory features: physical damage insurance and liability insurance. Physical damage insurance includes collision insurance and comprehensive coverage. Liability insurance on the other hand consists of bodily injury, property damage, uninsured motorist, and under-insured motorist. The definitions of terms are the same to those applied in personal car insurance.

However, there are other factors to consider when getting comercial vehicle insurance. You need to extend your coverage in terms of what exactly your needs are for your business and how much you can afford. A comercial vehicle insurance is not just another fancy way of selling you more insurance; it is, in fact, added protection for your business. If the car registered under your business figures in an accident and you get sued, your liability insurance would not be able to cover everything. Different companies have ways created forms of coverage that would protect your business from very expensive legal costs and obligations.

Michael

Meza, AZ

The first thing to do before shopping around for an insurance policy is to consider the size of the business.

If you are an entrepreneur with no employees and use your personal vehicle to drive yourself around for errands then a personal vehicle policy will be more than enough to meet your needs.

However, if you have a company that relies heavily on transportation to sustain its operations, then a commercial vehicle insurance policy is necessary to provide the adequate amount of security and protection.

Next, companies should also look into employees who use their own vehicles to run business-related errands. Management must ensure that these employees have their own personal vehicle policies that have policies carry sufficient liability coverage to prevent the company from footing the bill for these unfortunate occurrences. In the absence of personal auto policies, the company can opt for a drive other car policy, which is recommended for corporations or joint ventures.

If, for example, the employee figures into an accident with another driver and this driver opted to press charges against the driver and the business owner, the company must have a commercial vehicle insurance policy with an additional non-owned auto liability endorsement in order to protect its assets.