What are the Advantages and Disadvantages of Commercial Vehicle Insurance?
As you consider choosing any type of insurance policy, it is vital to evaluate the advantages and disadvantages of the types of cover available to you. In particular, Commercial Vehicle Insurance is essential for any business which uses a number of automobiles as part of its services
Why is Commercial Vehicle Insurance necessary?
One way to protect your business from financial loss is to cover as many liabilities that may arise from unforeseeable situations. Commercial car insurance will provide protection for all licensed vehicles linked to a company or self-employed worker. It is now a legal requirement to have liability-only car insurance at the bare minimum.
Depending on the type of insurance you use, the coverage for commercial vehicles would in essence protect a business against damages, fire, and theft along with other forms of third-party claims.
The types of vehicles you insure can include:
- Company cars
- Delivery trucks/vans
- Courier vehicles
- Waste disposal vehicles
- Staff cars
- Personal cars used for commercial purposes
Whichever category of vehicle/s you are looking to insure, this blog will help guide you to understand the advantages and disadvantages of this Insurance cover.
Advantages of Commercial Vehicle Insurance
- Provides coverage which requires repairing of a vehicle caused by damage in an accident
- Covers third-party claims against your vehicle
- Legal fees that come from lawsuits made against you
- Coverage in cases of theft, stolen parts/vehicle, natural disasters, vandalism, and attacks
- Discounts on quotes available for multiple insurances with the same company
- The ability to extend coverage for multiple drivers for the same vehicle
- No-claim bonus if no claims are made during the policy window before renewal
- Can possibly be counted in as tax-deductible
Disadvantages of Commercial Vehicle Insurance
- You do not cover you for any claims outside of your contract/policy
- Does not include mechanical or electrical breakdown cover
- Deductibles that will be outlined in policy papers
- Will not cover claims made for vehicles outside the geographical region outlined in the insurance policy
- No coverage for any claims made for accidents that occur with anyone that is not listed as the originally insured/designated driver for that vehicle
When searching for commercial vehicle insurance, you are essentially protecting your business from any auto-mobile-related disaster. It will save you a hefty bill generated by repairing damaged vehicles and accidents, so it is worth investing in a policy that covers all your vehicle needs.
How we can help!
At Trevellyan Insurance Brokers, we want to help businesses not be at fault, insuring with us today can help you keep you secure and safe in your hands. We make sure that you are covered and also keep you insured.
As brokers, we can help you find a policy that is at the best price.
We can offer you a quote that is suitable for you and right for your business.
July 20, 2022
May 16, 2022