The term "fleet" implies ownership of dozens of vehicles, perhaps all with your company's logo on them. That's not always the right depiction, though. Fleets can vary considerably.
Still, if your business owns multiple vehicles, it may be possible to purchase fleet coverage. This is a form of commercial auto insurance that covers your vehicles in one policy. It often helps to reduce your costs. Here's what you need to consider when buying this protection.
Why Consider Fleet Coverage?
Commercial fleet insurance can be a valuable investment for your business. It covers the liability risks for each of your company's vehicles. It should include all types of vehicles you operate — such as SUVs, buses, cars, and tractor-trailers. It's important to know that each vehicle can have a different use. Your commercial fleet insurance policy can usually cover nearly all uses for business-related needs.
You can buy fleet insurance if you have more than one vehicle owned by the company. Some insurance companies limit access to this affordable policy to just those who have five or more vehicles. Others require just two. However, it's generally best to choose this policy if you have three or more vehicles. At this point, it tends to offer financial incentives.
Know What The Insurance Covers
Like any form of commercial auto insurance, it's important to read the details of the plan to know what it includes and what limitations apply. Most of the time, your policy covers, at a minimum, the liability coverage that meets the requirements of the state you operate in.
However, you can (and often should) update your policy to include more protection. This is especially true for liability limits, for which most businesses need high coverage. You may also want your fleet insurance to include such items as like comprehensive coverage to protect against vandalism and theft, or collision insurance to pay for wreck damage to a vehicle. In some cases roadside assistance features can also be helpful.
How Much Is Commercial Fleet Insurance?
Your policy prices might vary significantly between policies. These variations mostly depend on risk. The age and the value of your vehicles, as well as the way you use them, play perhaps the most important roles in determining cost. The type of vehicle and the policy options you choose also play a role in determining the cost. And your driving records, location and previous claims history can be factors.
In every situation, it is essential for you to have coverage that matches your business. Any commercial auto insurance you buy needs to fit the way you operate your business and operations.