Whether you’re a business owner looking to insure one of your company’s cars, or an employee not sure about who is responsible for crashes, it’s important to have an extensive understanding of business vehicle protection. Here’s just three easy steps to keeping that company car protected.
Do your research
Just like a privately owned car, company cars must be insured in standing with the insurance laws of the state. And just as if you were insuring a privately owned car, do your research. Unfortunately many insurance comparison websites do not take into consideration company cars, although there are a few that can be found with a simple Google search.
Choose your policy
If you own the business that the car belongs to, you’ll need to be responsible for them, as well as the employees that drive them. Therefore, it is your responsibility that you insure every employee to drive your vehicles during a company’s business hours. This should have a high enough liability limit to prevent legal action taken against you due to accidents or injuries. A coverage of $500,000 is ideal, but ensure that you insure to at least $100,000. This policy should include comprehensive and collision protection. In addition to covering injuries resulting from crashes, it will protect your vehicle from fire and theft, as well as crashes with property. If the vehicle is a write-off, the insurance company will pay for it completely. The final point to consider is rental and towing. When the company vehicle has a breakdown, you’ll want to have this coverage. This allows you to be reimbursed for rental charges by your insurance company for the time it takes your car to get back on the road. When the company car gets a flat tire or suffers mechanical problems, your insurance company will also cover the towing charges. It is essential you protect your investments and get your car back on the road as soon as possible.
Keep your no-claims
If you happen to be switching your company car to a private, you’ll want to keep your no-claims. Most of the time insurers won’t let you keep your previous no-claims bonus. However, if you call, some companies may give you a special bonus if you’re switching to a private car. While the automatic online systems don’t allow discounts, an agent might be able to manually give you one. Call the top providers in your area and discuss this issue with them. Insurance companies have a tendency to hold on to your money as long as they can. That’s why it pays to have protection in case you’re in an accident and out of pocket. Motor Accident Legal Service can provide you with legal assistance in a bind. You can find them by following this URL.
Company vehicles are the lifeblood of the business. If one goes out of action, it could mean thousands in lost revenue. That’s why it’s so important that they are adequately insured and back on the road as soon as possible.
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