Commercial Auto Insurance Coverage Types:
Property Damage Liability: This coverage pays for damage your driver may cause to someone else’s property. Usually, this means damage to someone else’s car, but it also includes damage to lamp posts, telephone poles, fences, buildings, or other structures your company vehicle hits.
Personal Injury Protection (PIP) or Medical Payments: This coverage pays for the treatment of injuries to the driver and passengers of the policyholder’s car. At its broadest, PIP can cover medical payments, lost wages, and the cost of replacing services normally performed by someone injured in an auto accident. It may also cover funeral costs. Many carriers will also allow you to purchase additional Medical Payment coverage.
Comprehensive Coverage: This coverage reimburses for loss due to theft or damage caused by something other than a collision with another car or object, such as fire, falling objects, missiles, explosion, earthquake, windstorm, hail, flood, vandalism, riot, or contact with animals, such as a bird or deer.
Collision Coverage: This coverage pays for damage to your car resulting from a collision with another car, object, or as a result of flipping over. Even if your driver is found to be at fault for the accident, your business Collision coverage will reimburse your company for the cost of repairing your company vehicle, minus the deductible. If you’re not at fault, your insurance company may try to recover the amount they paid for repairs from the other driver’s insurance company. If they are successful, you’ll also be reimbursed for the deductible.