Do you work from home, own a home-based business or use your car for work outside your home? If so, you may not know whether you need a personal or business car insurance policy. If you’re wondering if your personal policy will suffice or if you’ll need a commercial insurance policy, use these guidelines to help you figure out which type of automobile insurance quotes to request.
Personal versus business car insurance policy
You should consider a commercial auto insurance policy if:
- You use your vehicle for business or commercial purposes more than 50% of the time
- Your job requires you to transport people for a fee, such as shuttling clients and employees or operating a home-based livery like a taxi or limo service
- You own a small fleet of vehicles that are used for business purposes
- Employees operate company vehicles
The main benefit of a commercial auto insurance policy is to cover your employees and others, such as family, who may drive or ride in your business vehicle. It will also help protect any business assets you have. Make sure your coverage limits will adequately cover you and your business if your company car is ever in an accident.
Also, remember that any equipment or machinery you permanently attach to your company vehicle is considered part of the car or truck and must be included in your insurance coverage.
You should consider a personal auto insurance policy if:
- You use your vehicle for business or commercial purposes less than 50% of the time
- You use your vehicle simply to deliver goods, services or to transport equipment from job to job
- You own only one vehicle used for business purposes
- Employees will not operate the vehicle
- The nature of your work doesn’t require higher limits of liability coverage
The main benefit of a personal auto insurance policy is that it will cover you in the event of an accident, whether you’re using the vehicle to run personal errands around town or deliver products for your business. If you meet the above criteria, you may be able to get the coverage you need under a personal policy and avoid the potentially higher premiums associated with commercial insurance.
If you work from home or are a home-based business owner and are uncertain which type of auto insurance coverage you need, contact your insurance agent for help. And don’t forget, once you know what you need, consult auto insurance reviews to find a provider that fits your needs and budget.
Do you have the right auto insurance you need as a work-at-home mom?
This is a sponsored post and was created and provided by Nationwide Insurance.