Understanding business automobile insurance

A business automobile policy(BAP) provides coverage for a company’s use of cars, trucks, vans and other vehicles in the course of carrying out it’s business. Coverage may include vehicles owned or leased by the company, hired by the company, or employee-owned vehicles used for business purposes. A BAP covers both liability and damage. 

A business automobile policy provides coverage for any company use vehicle drives on public roads. BAP coverage is chosen individually for each vehicle insured, and different transports owned by the same company may carry different amounts and types of coverage.

Businesses should get a business automobile policy even if it does not own vehicles if at any time they may use personal vehicles for business purposes. This coverage is vital in the cases of employees who use their private cars for conducting business duties. In the situation of a severe accident, the may not have enough liability coverage to protect the business adequately. 

The Ziegler Insurance Agency will use the business auto insurance form to create the policy for the business owner. A business coverage will identify the number and type of vehicle insured, the causes of and types of damage covered, and obligations of the insurance provider and the business.

BAP coverage should include both property damage and liability insurance. Also, in cases where the vehicle is a lease, or the company is making regular payments, specific levels of coverage may be necessary.