What protections are included in commercial fleet insurance?
Commercial fleet insurance generally covers vehicle damage and company liability. Should a vehicle be damaged in an accident or other incident, the damage will likely be covered if comprehensive and collision are in place. Should an accident cause damage to other vehicles, other people or other property, the resulting costs would likely be covered if commercial auto liability is in place. Some specific coverages and the protections they typically require are:
- Commercial Auto Liability Coverage: Could protect against injuries and property damage resulting from accidents caused by employees.
- Medical Payments Coverage: Could protect against medical costs associated with injuries sustained by individuals in company vehicles during accidents.
- Collision Coverage: Could protect against damage that insured vehicles sustain during accidents involving multiple vehicles.
- Comprehensive Coverage: Could protect against damage that insured vehicles sustain during incidents not involving other vehicles.
- Underinsured and Uninsured Motorist Coverage: Could protect against injuries and vehicle damage sustained in accidents caused by inadequately insured drivers.
Additional coverage, such as protection for items inside company vehicles, may be included, but this varies. An insurance agent experienced in fleet policies can explain the specifics of what a particular commercial fleet policy covers.
How many vehicles can commercial fleet insurance cover?
There's generally no limit to the maximum number of vehicles that a commercial fleet policy can cover. Policies are typically designed to cover at least five vehicles.
Policies for less than five vehicles may still consolidate the vehicles' coverages, but are normally coded differently and not considered true fleet policies.
What kinds of vehicles can a commercial fleet policy insure?
A wide variety of legally registered vehicles can be covered by a commercial fleet policy. Policies are commonly available for cars, vans, light trucks, medium trucks, heavy-duty trucks and trailers, as well as other types of road vehicles.
What sets a Symbol 1 Policy apart from a Symbol 7 Policy?
Commercial auto policies typically use "symbols" to indicate what types of vehicles a policy can cover. Most commercial auto policies are usually between Symbols 1-9.
The two most common types of fleet policies are Symbol 1 policies and Symbol 7 policies. Symbol 1 policies usually extend coverage to any vehicle employees might use for work-related activities. Symbol 7 policies usually restrict coverage to a specific list of vehicles that are listed in the policy documents.
A knowledgeable insurance agent can help businesses determine whether a Symbol 1 or Symbol 7 fleet policy better meet their needs.
How much do commercial fleet policy premiums cost?
The premiums for commercial fleet policies vary, as they're based on numerous factors. The following is a sampling of what can impact cost:
- Value of the insured vehicles
- Weight of the vehicles
- Classification of the vehicles
- Intended use of the vehicles
- Chosen coverages, deductibles, and limits
- Previous claim history
Despite the variation in premiums, fleet policies tend to be the most affordable and efficient way of insuring many commercial vehicles.
How can Massachusetts businesses get fleet insurance for their vehicles?
If you need help insuring multiple vehicles, reach out to the independent insurance agents of Norwood Insurance Agency. Our agents have worked with many Massachusetts businesses that needed fleet insurance, and we're ready to assist you.
