Commercial Auto Insurance
Commercial Auto Insurance Information
Commercial Auto Insurance
Companies using vehicles for their everyday business need commercial auto insurance to comply with Virginia laws and protect themselves against the financial stress of an auto accident.
Contact Transworld Insurance Group in Fairfax, Virginia, today to get a commercial auto insurance policy tailored to meet your organization’s needs.
What Is Commercial Auto Insurance?
Commercial auto insurance is a contract between a company and an insurer. The insurer provides financial protection according to the terms of the commercial auto insurance policy in exchange for premium payments.
What Is Covered Under a Commercial Auto Policy?
In addition to meeting Virginia’s minimum requirements for commercial auto liability coverage, you may choose to add coverage to help protect your company’s vehicles. If you lease or finance vehicles, your lienholder requires full coverage commercial auto insurance, which may include collision, comprehensive and GAP coverage.
Your company can avoid some of the financial stress associated with an accident by purchasing proper commercial auto insurance coverage. Your agent may recommend the following policies and endorsements:
- Liability insurance helps cover claims for third-party bodily injury liability and property damage liability. This coverage is required for Virginia businesses that use vehicles for business purposes.
- Collision insurance is required by your lienholder as part of your full coverage auto insurance policy. This coverage helps pay for damages to the covered vehicle after colliding with another vehicle or object.
- Comprehensive insurance is required by your lienholder as part of your full coverage auto insurance policy. This coverage helps pay for non-accident-related damages, including fire, vandalism, weather damage or theft.
- Hired and non-owned auto insurance (HNOA) provides coverage for leased, personal and rented vehicles used by your company.
- Uninsured/Underinsured motorist insurance helps cover damage to your company vehicle if you are in an accident with a driver that doesn’t have appropriate insurance coverage.
- Medical payments/Personal injury protection helps pay for several loss types, including medical bills if a company vehicle driver or passenger is injured in an accident.
- Commercial Umbrella insurance kicks in to help cover property damage and bodily injuries when a liability claim exceeds the limits of your company’s other liability policies.
Is Commercial Insurance Mandatory?
According to Virginia laws, all vehicles registered with the state, including personal and business vehicles, must have liability insurance or prove they have the funds to cover losses resulting from a car accident.
Financial responsibility requirements can be met with:
- Liability insurance that meets or exceeds Virginia’s minimum limits issued by an insurer licensed to do business in the state.
- Self-insurance certificate issued by the DMV or proof of a Surety Bond executed by depositing cash with the DMV.
- Payment of the Uninsured Motor Vehicle (UMV) fee of $500 at the time of registration. Paying the fee allows the legal operation of an uninsured vehicle in Virginia, but the owner does not have insurance coverage and is liable for damages in the event of an accident.
Contact Transworld Insurance Group today to get a quote for commercial auto insurance.