It’s a question every business owner and manager has pondered: Does auto insurance extend to on-the-clock driving? The professionals at City Centre Insurance Agency, LLC, serving the Houston, TX area, have the answer for you.
The Limits of Auto Insurance
It seems somewhat logical that one’s auto insurance would be applicable in every situation when on the road. However, that is not always the case.
There is an important distinction to be made between commercial auto insurance and personal auto insurance. The onus is on business owners to obtain auto insurance for those driving company vehicles. Moreover, workers’ compensation insurance must be obtained so that coverage is available if a worker is injured while driving any type of vehicle on the clock.
Personal Automobile Insurance Is Unique
One’s own personal auto insurance is applicable to personal activities on the road. For example, the morning commute to work, driving the kids to school and running errands are personal activities covered by one’s own auto insurance.
Commercial Auto Insurance
The primary difference between personal auto insurance and commercial auto insurance is the purpose that the vehicle is used for. Commercial auto insurance through City Centre Insurance Agency, LLC covers work-related driving while the employee is clocked in.
What About Using One’s Personal Vehicle for Work?
If an employee doesn’t use a company vehicle, choosing to use his or her own automobile, and an accident occurs, the matter becomes complicated.
The driver’s personal automobile insurance policy might not cover when an employee uses their own automobile for work purposes. This is precisely why most businesses have a fleet of vehicles for employees to use while clocked in. Many workers would rather use a company vehicle covered by commercial auto insurance when they are on the job.
Continue researching commercial auto insurance and you’ll find there are many coverage options. Such unique coverages tend to pertain to business-related risk, be it transporting expensive equipment, goods, etc.
We Have You Covered
Serving the greater Houston, TX area, City Centre Insurance Agency, LLC offers competitive rates on commercial auto insurance. Give us a call today!
