Get Car Insurance for Company- How It Protects Your Business

Automotiveby Mashum Mollah26 June 2019

Car Insurance

Buying a car is not enough. You need to maintain it properly; otherwise,​it will cost you more in the long run. When the discussion is about car maintenance, how can we forget about car insurance? For every car owner, it is one of the most important things to have. It is a legal requirement. Insurance provides you financial support if your vehicle meets an accident. It provides coverage to the other drivers too who get injured. Car insurance is important for every car owner. Car insurance is of two types one for individuals and another for commercial.

Basics of company’s car insurance:

In many businesses, company cars provide duty throughout office hours. But in many small companies, company cars also can be used for personal use. Many companies provide vehicles for providing dual services- personnel as well as work-related. Sometimes, companies ask their employees to employ personal vehicles for official purposes. They also reimburse the same on most occasions. While there are some companies that all employees to use a company car for their personal use. So how to ensure the vehicle which provides you multiple services. Get car insurance.

What is company vehicle insurance?

As a business owner, one should have insurance coverage for cars, vans, trucks, or any other vehicles that are in use for business purposes. Many businesses offer insurances like vehicle insurancewage loss insurance, etc, and some businesses don’t offer such insurances.  The BOP (business owners policy) doesn’t provide you with any vehicle coverage, so you need to take it separately. The charges of the company’s car insurance vary.

Type of car insurance:

  • Third-party
  • Comprehensive
  • Third-party, theft or fire

The insurance company will ask you to add the driver’s name also who drives the company car. Driving a car without insurance is illegal. Govt can punish you by disqualifying you from driving.

What is fleet insurance?

Fleet insurance covers those vehicles, which are owned by the company. Every Company has a huge number of car, and it is quite normal. It can be a corporation, sole proprietorship, or another company type. Through fleet auto insurance, you can ensure both the vehicle and all the drivers who drive the vehicle.

You can take fleet auto insurance if the company has 3ormore vehicles. Keeping a huge number of vehicles owned by companies is quite normal. All the vehicles in the fleet should be owned by the company. You never know when a mishappening knocks at your door. As mentioned above it covers the listed drivers and the company vehicle. You can get coverage for any type of loss, damage, or theft. Choosing the right insurance is important as it saves your money in the long run.

An employee-owned vehicle with insurance from the Company:

If your employees use their personal vehicles for work purposes, make sure they get liability coverage. Any employee who uses his personal vehicle for official purposes needs to be covered under the company insurance. He will be covered under his insurance. However, if there is any third-party damage, company insurance can cover the same.

If there is a litigation case slapped on the employee by the affected driver, the company owner’s insurance policy won’t suffice. The auto liability coverage protects the company’s assets from the expensive lawsuit.

Company’s owned car with the car policy:

Many times, it happens that the company’s car serves both personal purposes and for company purposes. In that cases company car insurance policy is mandatory. This will help save a lot of damages that can be incurred in case of a full-blown legal battle.

Fleet insurance coverage:

  • Van, car, motor
  • If you have three or more vehicle
  • Comprehensive coverage
  • Third-party cover
  • Fire and theft, third party
  • Listed driver
  • Any driver
  • LGVs or HGVs

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Mashum Mollah

Mashum Mollah is an entrepreneur, founder and CEO at Viacon, a digital marketing agency that drive visibility, engagement, and proven results. He blogs at

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