Commercial auto insurance for installation businesses

Your employees might be skilled drivers, but you can’t control the unexpected. An auto accident could lead to another driver getting injured, or your installation truck or van being totaled.

Costs could easily accumulate in the thousands of dollars, or more if another person is harmed. Compare that to the average premium of about $150 per month for installation companies, and it’s easy to see why commercial auto insurance is the better deal.

Commercial auto insurance can help pay for lawsuits, property damage, medical bills, and other expenses that arise from an accident. It also covers vehicle theft and damage caused by weather and vandalism.

This policy can be tailored to fit your installation company’s specific needs. For example, a pickup used to deliver large appliances once a week may require less coverage than an HVAC contractor’s van that is driven daily.

Company-owned vehicles must be covered by commercial auto insurance.

Commercial auto insurance may be required if you:

• Operate an installation vehicle
• Transport tools and equipment
• Send employees on errands during work hours

State regulations determine how much coverage you need. Your commercial auto insurance must meet your state’s liability insurance requirements.

You can customize your commercial auto insurance policy to match the needs of your installation business. This policy typically covers the following:

If your installation business is taken to court over an auto accident, legal costs can pile up quickly. In addition to hiring a lawyer, you might also have to pay a settlement or judgment – all of which could be covered by commercial auto insurance.

If the driver or a passenger in your company-owned vehicle is injured in an accident, this policy can help cover medical costs.

Collision coverage helps pay for repairs to your truck, van, or other work vehicle, regardless of who is at fault.

This policy covers damage caused by drivers who don’t have insurance.

Your commercial auto insurance policy may also cover damage caused by vandalism or certain weather events, as well as vehicle theft.

Commercial auto insurance covers business-owned vehicles, but sometimes employees drive their own cars for business purposes. Personal auto policies almost always exclude coverage for business use.

Hired and non-owned auto insurance (HNOA) offers liability coverage for installation professionals involved in a crash while driving a personal vehicle to conduct company business. It also covers leased and rented vehicles.

While commercial auto insurance is a must-have for businesses that own a truck or company fleet, it does not cover risks beyond those related to your vehicle. Owners of small installation companies should also consider:

General liability insurance: This policy covers expenses related to customer injuries and property damage, such as damage to a hardwood floor caused by an appliance installer.

Business owner's policy (BOP): A BOP bundles general liability coverage with commercial property insurance at a discount. It protects against common accidents and business property damage.

Workers’ compensation insurance: Workers’ comp helps pay for medical expenses from work-related injuries and illnesses. It's required in most states for businesses that have employees.

Contractor’s tools and equipment insurance: This policy helps pay for repair or replacement of an installation contractor’s tools and equipment if they are lost, stolen, or damaged.

Mobile equipment endorsement: A mobile equipment endorsement extends your auto insurance coverage to include “non-auto” mobile equipment, such as a maintenance truck, generator, or cherry picker, while it’s driven on a public road.

Cyber insurance: Any business that handles personal information, from credit card numbers to email addresses, should carry this coverage. It covers costs related to data breaches and cyberattacks.

Are you ready to safeguard your company's vehicle with commercial auto insurance? Complete Insureon’s easy online application today. Once you find the right policy, you can begin coverage in less than 24 hours.