Many Worcester businesses, from livery services to contractors and restaurants, rely on vehicles to get the job done. Anytime you or your employees are driving for business, your business is at risk. If an accident occurs, your vehicle, other vehicles and property, and people could be injured if your company could be held liable for the damages. To best protect your business against risk of accidents, you need commercial auto insurance.
Massachusetts state law requires that all vehicles be insured to be registered and driven legally. This statue includes vehicles used for commercial purposes. If your company owns any vehicles, you must have proper insurance that meets or exceeds state mandates.
However, even if you do not own a company vehicle, you may need a business auto policy. If your employees use their own vehicles to conduct company work, their private auto coverage may not cover an accident that occurs as part of a business activity. To protect your Worcester, MA business, you need to have commercial auto coverage on these vehicles.
Some examples of businesses that may need to purchase coverage include:
Worcester, MA businesses must carry commercial auto insurance up to state minimums, which can be more than those for personal vehicles, depending on how it is used and the type of vehicle. You are required to have coverage for:
While the state mandates minimum coverage limits, most businesses will not be adequately protected at these levels. Most insurance experts recommend purchasing additional coverage for more complete protection.
In addition to the mandated coverage, you may want to add additional types of coverage to your business auto insurance policy. The two most common policy additions are:
You may want to add on more options such as:
Your local Worcester, MA insurance agent can help determine the options that are best suited to your business needs.
Just as with personal auto insurance, your premium costs are dependent on a number of factors. Where and how your vehicle is stored, how many employees are driving it, and the driving record of those employees will all be considered. It’s important to check driving records of prospective employees, and consider requiring commercial licensing to help reduce your premium expenses.
Your costs may also be tax-deductible as a business expense, so be sure to consult with your financial professional.
If your job has you or your employees traveling the roads of Worcester, MA and the surrounding areas, your business is at risk for expensive lawsuits and other damages if an accident occurs. You can best protect your business and adhere to Massachusetts state mandates by purchasing a commercial auto insurance policy.