Blog 2014

Using the right tool for a job is the key to success in any profession. Experts say the same principle applies when selecting an auto insurance policy. Having the right type of policy can help ensure that you, your employees and your business are all protected in the unfortunate event that one of your vehicles is involved in an accident.

If you’re a business owner and you or your employees use a vehicle for business-related deliveries or to carry certain materials to and from a job site, you may need a commercial auto insurance policy that’s tailored to more closely suit the needs—and risks—of a business vehicle operator.

Here are some questions that can help you determine if you might need a commercial auto policy instead of a personal auto policy, courtesy of AFSA:

• Do you need more liability coverage than your personal auto policy provides? Generally, a commercial auto policy provides higher limits of liability, but less or no coverage in areas that are typically not associated with commercial auto risks.
  
  
• Do you need special coverage for situations associated with con-ducting business? Commercial auto policies also usually offer certain coverages—such as hired and non-owned auto coverage and coverage for towing a trailer for business use—that are not available with personal auto policies.
• Do you need to list any employees as drivers? You can do this with a commercial auto insurance policy.
  
  
• Do you use your vehicle for business purposes? If you use your vehicle for things like pizza or newspaper delivery, catering, door-to-door consulting service, landscaping or snowplowing service, logging business, day care/church retreat van service and/or farm-to-market delivery, you might need a commercial auto policy.

AFSA is an independent insurance agency – trained, licensed insurance professionals who offer personal service and advice. We can help match you with the type of policy that best suits your needs and those of your company.

To learn more about all an independent agency offers, give us a call.

Business owners need to request Certificates of Insurance from any business that works for them. Certificates of Insurance provide proof that one has workers compensation and liability insurance.  

Why do you need to know if your vendors have coverage?  Let’s say your landscaper is weedwacking and hits a stone which shoots across the parking lot and shatters a customer’s windshield.  If your landscaper has liability insurance, a claim can be filed with his insurance company. If he doesn’t, that customer is going to file a liability claim against you.  What if that same rock hits his employee in the eye and causes blindness?  If he has workers compensation insurance, a claim will be filed under his insurance company, If not that employee could file a liability claim against you. 

Make it a habit, to request proof of insurance from all new vendors. At least twice a year, request certificates of insurance from your current vendors.   If your vendors can’t provide you with proof of insurance, find a vendor that can.