An intelligent business owner always takes steps to minimize the risks associated with a business. Even if there is a vehicle operated by the company it is put under insurance for escaping the problems that might arise in case there is an accident caused by that vehicle. In this article we would help the readers understand the importance of commercial auto insurance and the key pointers for making the correct selection of it. In you are aiming for information’s right now, visit this website http://southcaliforniainsurance.com/ .

When to get commercial auto insurance?

A business owner must get the vehicle used in business activities insured because there are risks associated with the use of the vehicle on the road. If a car is titled in the name of an enterprise it must be insured under the category of commercial insurance. This is because in case there is an accident caused by the car, the titleholder of the vehicle is sued. In case the titleholder is the business then the entire business is kept under legal proceedings. Such an incident would lead to problems in business operation. Also, if the insurance policy is not designated in the name of the business then it can cause complications pertaining to the validity.

Coverage limits in such insurance:

The coverage limits in these cases could range between the basic limits (which is in Illinois it is 20,000, 15,000) to a good sum of million dollars for each accident. However if a company wants to be insured and do not want to lose the business assets in case of auto incidents, then they make get policy with high liability limits.

Is correct classification of vehicle needed?

For the correct insurance coverage it is necessary that the business owner does the correct classification of the automobile. This should also be done for avoiding bigger risks like loss of business assets in the case of an accident by the vehicle. A perfect example for understanding the difference: There are two trucks. One truck is engaged by the painter while another is utilized as a dump truck. These both are different and so the amount of premiums will also vary. It is to be understood that any automobile that is used either in the title of the business or which comes useful for running the business must have a commercial auto insurance policy.

Optional coverage’s for the commercial auto:

Apart from the insured sum there are other optional coverage’s found as one gets these types of insurance. The major ones are:

1. Physical Damage caused by collision- Such insurance in good cases even covers the physical damage caused by an accident that involved another vehicle or a stationary object like a wall and others. In best cases the comprehensive coverage pays for the damage to the insured vehicles caused due to the flood, fire and other elements.

2. Medical help - The coverage also pays the medical care expenses for the insured person. Even it pays for the passengers in the automobile.
Thus, by selecting a correct Commercial auto insurance policy a company benefits in the long run. It will help a business cover the risks that could otherwise hamper normal working of the business.

Most affordable commercial insurance in San Diego, CA is available at South California Insurance http://southcaliforniainsurance.com/ . To check on quotes and prices please http://southcaliforniainsurance.com/

Contact Person: Goran Mijailovic
E-mail: [email protected]
South California Insurance Company
Address: 801 Washington Street San Diego, CA 92103
Tel/Fax: (619) 296-1228
Website: http://southcaliforniainsurance.com/