COMMERCIAL AUTO INSURANCE

Protection for vehicles used in business operations

Commercial Auto insurance provides liability and physical damage coverage for vehicles used in connection with business activities. Unlike personal auto insurance, Commercial Auto is designed to address the increased risk, legal exposure, and usage patterns associated with business operations.

Any business that owns, leases, hires, or regularly uses vehicles for work purposes should consider Commercial Auto coverage.

What Commercial Auto Insurance Covers

Commercial Auto policies typically provide coverage for:

Bodily Injury & Property Damage Liability
Protection against claims arising from accidents where your business is legally responsible.

Physical Damage
Coverage for damage to covered vehicles, including collision and comprehensive losses.

Medical Payments or Personal Injury Protection
Pays medical expenses for occupants of covered vehicles, subject to state requirements.

Uninsured / Underinsured Motorist Coverage
Protects your business when an at-fault driver lacks adequate insurance.

Hired & Non-Owned Auto Liability
Covers liability arising from rented vehicles or employee-owned vehicles used for business purposes.

What It Does Not Cover

Commercial Auto insurance generally does not cover:

• Personal use outside defined policy terms

• Intentional acts

• Employee injuries (covered under workers’ compensation)

• Wear and tear or mechanical breakdown

• Certain high-risk vehicle types without endorsement

• Cargo or goods being transported (requires separate coverage)

Coverage depends on how vehicles are titled, used, and insured.

Who Needs Commercial Auto Insurance?

Commercial Auto is essential for businesses that:

• Own or lease company vehicles

• Use vehicles to transport goods, tools, or equipment

• Have employees driving for work purposes

• Rent vehicles in the business name

• Rely on deliveries or mobile operations

Many contracts and states require Commercial Auto coverage when vehicles are business-owned or regularly used for work.

How Coverage Is Structured

Commercial Auto policies are structured based on:

• Vehicle ownership (owned, hired, non-owned)

• Vehicle type and weight

• Driver eligibility and records

• Radius of operation

• State-specific minimum limits

Policies include per-accident liability limits and optional physical damage deductibles.

Real-World Claim Examples

• An employee causes an accident while driving a company vehicle

• A rented vehicle is damaged during a business trip

• An employee causes a collision while using a personal vehicle for work

• A business vehicle is stolen or vandalized

Auto-related claims are among the most frequent and costly losses businesses face.

Why Proper Placement Matters

Commercial Auto coverage can be compromised by:

• Incorrect vehicle ownership classification

• Failure to include hired and non-owned auto coverage

• Inadequate liability limits

• Misunderstanding personal vs. commercial usage

Small errors can lead to denied claims or uncovered losses.

Our Approach

At Cory Washington & Co., we assess how vehicles are actually used — not just how they’re listed on paper. We structure coverage to align with operations, contracts, and growth plans while ensuring compliance with state and contractual requirements.

Auto exposure should never be an afterthought.

Disclaimer

All insurance descriptions on this website are provided by Cory Washington & Co. LLC strictly for general informational purposes. They are not intended to be, and should not be relied upon as, legal, financial, or insurance advice. The information presented is general in nature and does not guarantee the availability, terms, conditions, or scope of any insurance coverage. Actual coverage is determined solely by the specific policy language issued by the insurer and remains subject to underwriting approval. Nothing on this website creates or implies an agent-client relationship, binds coverage, or alters any existing policy. Cory Washington & Co. LLC expressly disclaims any liability for actions taken, or not taken, based on the content provided here. For advice regarding your particular situation, please consult directly with a licensed insurance professional at Cory Washington & Co. LLC or another qualified insurance professional, and always review your policy documents in full.