What Does a Commercial Auto Insurance Policy Cover?

Most businesses have a special auto insurance policy for added protection on the road. A New Jersey commercial auto insurance plan is especially helpful to minimize your financial risk as a business. If you have this policy or are thinking of purchasing one, it is important to understand what it covers.

Name of the Insured

A commercial auto policy will protect the name of the person insured. For most small businesses, this is an individual person. However, it could refer to the entity that is listed on the policy’s declarations.

Employees

Commercial policies also usually protect people known as permissive users. These are drivers, or employees, who use the car with your permission. In most cases, permissive users include the people you hire or anyone who you agree to let borrow your car.

Liabilities

The right policy may also provide protection for people who are liable for the conduct of both you and permissive users. In the event of an accident, these people may be held legally responsible and the right insurance can provide adequate protection.

To learn more about the coverage options available with New Jersey commercial auto insurance, make sure to contact an insurance agent. Together you can determine what auto policy is best for your needs.

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