How To Save Money On Commercial Auto Insurance
If you own your own business, your company is a huge part of your life. With the large investment of your time, passion, and money that goes into running your own business, you need to fully protect it financially.
If you use cars, vans, or trucks for business purposes, you can protect your company by purchasing a strong commercial liability auto insurance policy. Whether you opt for the minimum liability coverage, or you add a number of optional commercial coverages to your policy, you'll want to get the best commercial car insurance at the best price.
Follow our tips to help you save money on your commercial auto insurance.
Review Driving Records
One of the key factors in determining your commercial car insurance premium is the driving records of all drivers insured on the policy.
As an employer, you can obtain the driving records of potential employees if part of their duties will involve driving. Make sure to hire employees with solid driving records to decrease the risk that your drivers will cause a crash and also to ensure that you maintain low commercial car insurance rates.
NOTE: As a way to make sure you hire qualified drivers, several commercial auto insurance companies will offer you a discount on your policy if your drivers have commercial driver's licenses.
Comparison-shopping is one of the best ways to save on your commercial auto insurance. You can't know if you are getting the best price if you only ever get one quote.
In order to get the best commercial coverage at the most affordable price, you should obtain at least 3 different commercial car insurance quotes. This will help ensure that you are informed enough to get the best price for your commercial auto insurance.
Remember: The best policy is not always the cheapest policy. Make sure you're getting the coverage you want at a price you can afford.
Choose a Higher Deductible
If you make a claim on certain types of commercial auto insurance coverages, such as collision and comprehensive, you will be responsible for paying a deductible before you are eligible to receive your compensation.
A deductible is your out-of-pocket expenses towards a commercial car insurance claim.
In most cases, if you choose to pay out a higher deductible, you will save on your premium. This is because choosing a higher deductible means you are taking some of the risk of covering you away from your commercial car insurance provider and covering it yourself.
Choose a Different Payment Option
Many commercial car insurance companies will offer a discount for paying larger sums upfront. For example, paying for your commercial insurance premium in full could save you various administration and interest fees. Some companies even offer a discount of up to 10% for doing so.
Some insurers also offer savings on administration fees if you choose the electronic funds transfer (EFT) option. With an electronic funds transfer, your insurance payment is taken out of your bank account automatically at a predetermined date, thereby eliminating late fees.
Bundle Your Policies
Many companies offer a discounted insurance rate to repeat customers carrying more than one policy. These are often referred to as bundling discounts.
Your Auto Insurance Policies
Depending on your car insurance company, you could save on your commercial auto insurance policy by using the same provider you use for your personal car insurance policy.
If you have any questions about this, speak to your current auto insurance agent. Also, remember to comparison-shop. Even considering the discount, you might be able to find a more affordable commercial car insurance policy elsewhere.
You may also want to protection for more than just your vehicles. Several commercial car insurance companies offer other types of business insurance policies and will even offer you discounts for buying multiple policies with them. As you shop for your commercial auto insurance, inquire about other types of insurance that may be available to you.
Amanda Lautieri Limited Lines Auto Agent