Commercial Auto

Commercial Auto

Business auto coverage is designed to provide liability and/or physical damage coverage for owned/non owned or hired/ borrowed autos that may be used in the named insured’s business operations. Other coverages that are typically provided in a business automobile policy include medical payments, personal injury protection (PIP), uninsured and underinsured motorists’ coverage, towing and rental/transportation. Optional coverages are available such as lease gap coverage and drive other car coverage typically used for executive officers whose automobile is furnished by his/her employer and provides the executive personal coverage when driving non corporate vehicles such as rental cars.

In situations where employees lease vehicles on behalf of your company, care should be taken when choosing who will be responsible to the rental car company. If you want your business insurance policy to apply, either the contract should be between your company and the rental car company or you will need to add the Employee Hired Auto endorsement.