A commercial auto might not necessarily be a car that is bought and paid for by the company for business use. A commercial auto is any vehicle that is regularly used for business purposes. This means that if you have your employees make deliveries for you, visit clients, or pick up business goods on a regular basis, you are technically using the employees as professional drivers. These employees are driving commercial vehicles, and their auto insurance coverage will need to reflect that.
Driving Professionally On A Personal Policy
Many employers who require their employees to do a lot of driving only require that their drivers carry basic personal insurance. Most pizza chains, for instance, have no real stipulations on drivers besides basic proof of insurance. However, an employee who drives for work on a regular basis should make sure to get covered on a commercial auto insurance policy no matter whether their employer mandates it.
If you are involved in an accident while driving for work, there is a good chance that your insurer will not cover you on your personal auto policy. If you only drive for work occasionally, you may be covered, but only if you keep your insurer up to date on the fact that you might be making a delivery or picking up a client now and then.
Fortunately, you only need one policy. While your personal auto insurance might not always cover commercial use, a commercial policy should cover personal use.
Another option is to buy additional liability on your personal insurance policy. However, this can be considerably more expensive — and more complicated — than simply getting your car covered under a commercial auto insurance plan.
If you are the employee in this instance, get covered under a commercial auto policy— no matter what your employer may tell you. If you are the employer, advise your drivers to get commercial auto insurance, or else save that task for employees on your payroll who already have commercial auto coverage.