Buying commercial auto insurance for your business is an important task. You need to make sure you have the right coverage, that all critical vehicles are covered, and every driver will have coverage in case of an accident. But not all commercial auto insurance policies are created equal. Be sure to ask the right questions of your policy and your business before purchasing a commercial auto insurance policy.

How Large is the Business? 

The more vehicles you need, the more insurance you will need. If you have a single location with a handful of work vehicles, you will generally need a smaller policy than someone with multiple locations and hundreds of work vehicles. Knowing how many vehicles you want and need to insure can help the process of buying a policy go smoother and give you more control when comparing premium prices.

What Type of Vehicles are You Insuring? 

A commercial vehicle can be nearly any vehicle as long as it is used for work purposes. This includes pickup trucks, passenger vehicles, company cars and more. If you have passenger vehicles, you may have different requirements by your state when it comes to auto insurance. You will also want more injury liability coverage to protect the passengers traveling with your company. Larger and heavier vehicles may also need more property damage and bodily injury liability in case of an accident.

What Dangers are in Your Location? 

Examine the statistics of where you operate. Do you get a lot of hurricanes, earthquakes, floods or tornadoes? What about other natural disasters? Is theft and vandalism common in your area? Knowing what dangers your commercial vehicles face can help you determine the limits you need, especially for you comprehensive coverage.

Who Will Be Driving? 

One of the most important factors to consider is who will be driving the insured vehicles. If you are hiring employees with the intention of letting them drive business vehicles, background checks are a must. Look at their driving record and history to make sure that you are hiring someone reliable. If you know who will be driving the vehicles, you can add certain employees to specific vehicles on the policy. If the vehicles are shared between employees, however, you may want an overarching policy that simply covers any employee who will be operating the vehicles.

Be sure to compare prices in your area and shop with your coverage needs in mind.