Business Car Insurance & Employee Automobiles

Small business car insurance policies cover the automobiles of employees who use their own cars for business purposes IF the business owner purchases non-owned liability coverage.

Business owners can also select optional non-owned physical damage coverage to cover repairs to the employees' automobiles; however, the employees' personal auto insurance is still the primary coverage for damage to their cars. Shopping for an car insurance company online helps businesses find the auto insurance carrier best suited to their particular industry.

What Do I Need to Know About Business Insurance?

If you use your car for business purposes, you need business car insurance. Unlike regular auto insurance coverage, car insurance for business will cover your car accident if you are using your car for business purposes.

There are two ways to cover your car for business purposes:

1. Have a business policy for your car. Even if you only use your car for business most of the time, a business policy might make sense. Get a quote on business insurance and see what the coverage and price differences are to see if this option is right for you. If you travel a lot for business, rental car insurance on a business trip can save you a lot of time and money if you get into a scrape.
2. Designate the car you use for business as "business use" on your personal auto insurance policy. Many companies offer a "business use" designation for your car, and then ask what percentage of time you use your car for business. This is great if you use the same car to take the kids to soccer as you use to get to client meetings. If you are on the way to a business networking lunch and you are in an accident, your coverage may not apply if you have not designated your car for business use.

A question many business owners ask: "Is car rental insurance for business necessary?" If you have a fleet of cars for your business, then getting car rental business insurance may not be necessary. But if you are a sole proprietor with just your car taking you to business meetings and client lunches, rental car insurance for business may be a good plan so you can continue to get to those meetings in the event of an accident. Keep in mind that there is a difference between adding a business endorsement to a personal auto policy and actually buying a commercial policy. Make sure you find out which is right for you.

Choosing Your Business' Car Insurance Carrier

When purchasing car insurance for your business, chose an auto insurance company that offers a rate for virtually any type of driver.

Consider the variety of vehicles that your business uses and make sure the car insurance company has coverage that fits each vehicle type.

As a business owner or manager, you might choose a small business insurance company that specializes in your specific industry.

Business Car Insurance Coverage Options

Small business car insurance policies offer a range of coverage options that cater to the needs of both business owners and their employees.

Business auto insurance options includes:
* Liability coverage
* Comprehensive coverage
* Collision coverage
* Rental car reimbursement

Businesses can also elect to purchase non-owned liability coverage and non-owned physical damage cover (to cover employees who use their personal autos for business).