What is commercial auto insurance?
Commercial auto insurance covers vehicles used for business, including liability for injury and damage you cause, physical damage to your vehicles, medical payments, and uninsured motorist coverage. It can extend to hired and non-owned vehicles and manage a full fleet under one program. A personal auto policy reaches most ordinary business driving, but it is written for a person rather than a company, and it commonly excludes carrying people or property for a fee.
If your business drives, whether it is one van or a full fleet, commercial auto insurance protects the vehicles, the drivers, and the operation behind them. The gap owners miss is not business driving generally. It is that a personal policy names a person, not the company that can be sued alongside them.
What does commercial auto cover?
What does Commercial Auto Insurance cover?
- Liability for bodily injury and property damage you cause while driving for work.
- Physical damage to your vehicles, including collision and comprehensive.
- Medical payments and uninsured or underinsured motorist coverage.
- Hired and non-owned auto (HNOA) for rented or employee-owned vehicles used for work.
- Fleet management across multiple vehicles under one program.
What limits does California require?
A business vehicle sits on the same statutory floor as a private passenger car, which is well below what a serious injury claim reaches. Haul property for compensation and the rules change. A Motor Carrier Permit is required, and Vehicle Code 34631.5 sets a $750,000 combined single limit, or $300,000 for a carrier running only vehicles under 10,000 pounds GVWR. Your insurer files the certificate with the DMV, and the permit is suspended the moment that filing lapses. Current as of August 2026.
Which businesses need commercial auto?
Contractors, delivery and service businesses, sales teams on the road, and any operation with company vehicles. If employees run errands or make deliveries in their own cars, HNOA is often an important addition.
How do we place commercial auto coverage?
Tell us about your vehicles, drivers, and how they are used. We review your exposures and limits with you, explain where personal policies fall short, and help you put the right commercial or fleet program in place. We stay with you as your fleet changes, and we advocate for you after an accident.
Common questions about Commercial Auto Insurance
Answering the most frequently asked questions about Commercial Auto Insurance.
