work vehicles in parking lot

February 12, 2016

Business car insurance

1 min read


All car insurance is not created equally. The personal car insurance that covers you while driving to and from work won’t necessarily cover you if you drive your car for a work related reason, because your policy is not a business car insurance policy. This is an important fact that every business owner needs to understand if they or their employees ever drive as part of their job.

Benefits of business car insurance

Business car insurance is similar to personal car insurance in many ways. It covers theft, accidents, and other types of damage to vehicles either owned by the business or being used to perform business duties. The fact that business auto insurance can apply to personal vehicles being driven for business duties is one way it differs from personal policy.

A key benefit of business auto insurance is that specifically covers business assets that are being transported by the insured vehicle. Personal auto insurance usually won’t cover those assets if they are lost, stolen, or damaged.

Coverage options for business car insurance

Just like personal auto insurance policies, there are numerous types of policies and coverage options for business auto insurance. For small businesses where the business doesn’t own any vehicles, policies are usually designed to cover personal vehicles owned by employees that are used for work purposes. This type of policy protects the assets of the business when they are being transported, the employees while they are driving, and the business owner from liability in case of an accident.

For larger businesses that own a number of vehicles, fleet insurance and commercial trucking insurance are available.

Fleet insurance

Fleet insurance allows your business to purchase commercial vehicle insurance in bulk. If your business owns five or more vehicles, you are eligible to purchase fleet insurance. Like most things bought in bulk, fleet insurance offers a discount over buying individual insurance policies for each vehicle.

Commercial trucking insurance

If your business regularly hauls cargo in commercial trucks, you want this specialized form of insurance. Just like fleet insurance, you may get a discount due to vehicle quantity. Additionally, commercial trucking insurance is specifically designed to minimize your costs for insuring the cargo your trucks are hauling.

Finding the right insurance

Choosing the right insurance for your company can be a challenge. You need to be familiar with all of the coverage options and what liabilities and risks you are taking with each option. Cost is obviously a factor as well. By discussing your business with a knowledgeable insurance broker, you can save money and be assured you have the best insurance in place.

Protect your business

For expert advice and no obligation quotes,contact Mitch Insurance Brokers today at 1-800-731-2228. We’ll be happy to help you with any type of commercial insurance you may need.

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Mitch Team

The articles you'll find on the Mitch blog are all the result of a team effort, contributed to by one or more of our RIBO licensed insurance brokers and/or other Ontario insurance experts. Contributors to our blog include:

  • Adam Mitchell (RIBO) - President and CEO of Mitch Insurance Brokers
  • Nick Kidd (RIBO) - Chief innovation officer at Mitch, & director of business insurance
  • Alex Gemmiti (BSc, CIP, RIBO) - Service team lead at Mitch Insurance
  • Jesica Ryzynski (RIBO) - Insurance broker, claims specialist, and account manager at Mitch Insurance

Learn more about the Mitch Team

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