If your California business uses one or more vehicles to meet its day-to-day operations and demands, then you should have commercial auto insurance as mandated by law. This type of policy protects your business vehicles and drivers against road mishaps. It compensates for the expenses associated with injuries or death, property damage, and property loss.

California state law requires that you carry at least the minimum liability limits of 15/30/5. This means that your coverage will reimburse up to $15,000 for bodily injuries/death of one person in an accident, $30,000 for bodily injuries/death of multiple people in an accident, and $5,000 for property damage in an accident.

Extra Coverage for Greater Protection

However, your liability limits could be exhausted quickly if your commercial vehicle is involved in a massive accident resulting in significant injuries and damages and even deaths for which your driver is at fault for. You can easily prevent this scenario from happening if you adopt the “better be safe than sorry” approach by purchasing more coverage. Otherwise, you have to dig into your pocket to pay for sudden expenses.

Most business owners add the following protection to their bodily injury and property damage liability policies:

• Collision insurance
• Comprehensive insurance
• Medical payments coverage
• Uninsured/underinsured motorist insurance

But you can choose to include special protection such as:

Hired and non-owned auto insurance. Provides coverage for non-company-owned vehicles that you use for business purposes. This reimburses liability expenses if your rented vehicle or worker’s vehicle utilized for business errands figures in an accident.

Loading and unloading coverage. Insures products, equipment, materials, and merchandise against damage during loading and unloading.

Towing and labor coverage. Provides roadside assistance when your business-owned vehicle is stuck on the road.

Rental car coverage. Pays for the rental cost of a vehicle you temporarily use while your company car is being repaired.

Factors that Affect Your Policy Rate

The cost of your commercial auto insurance policy may be lower or higher depending on some considerations such as:

• Type of coverage needed
• Driving record
• Claims history
• Type of vehicle
• Business location
• Travel radius
• Safety measures or devices

Work with Independent Agents in California

We at Onstad's Insurance Agency offer commercial auto insurance statewide, particularly in the areas of San Ramon, Danville, Pleasanton, and Dublin. As independent agents, we can shop and compare policy rates from multiple insurance providers and provide you with coverage that is just right for your business. Request a quote online now.

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