Commercial auto insurance is a type of insurance policy that helps cover vehicles used for business purposes such as cars, trucks, and vans. Commercial auto insurance covers vehicle damage and driver injuries.
Commercial auto policies tend to have higher coverage limits than personal policies, because business vehicles need more protection in case of accidents.
Commercial auto insurance covers business vehicles for things like:
• Damage to your vehicle(s)
• Driver injury
• Injury to someone else
• Damage to someone else's property
Vehicles covered by commercial auto insurance generally include:
• Cars
• Vans
• Pickup trucks
• Box trucks
• Service utility trucks
• Food trucks
In Texas, commercial auto insurance is designed to provide coverage for vehicles used for business purposes, which can include a range of vehicles from cars and vans to box trucks and food trucks. This type of insurance is crucial for businesses as it not only covers damages to the insured vehicles but also provides protection for driver injuries, injuries to third parties, and damage to third-party property. Texas requires that all vehicles, including those used for business purposes, have a minimum amount of liability insurance to cover bodily injury and property damage. The minimum limits are $30,000 per injured person, up to a total of $60,000 per accident, and $25,000 for property damage per accident. However, businesses often opt for higher coverage limits through commercial auto insurance policies to ensure adequate protection against the higher risks associated with business vehicle operations. It's important for businesses to accurately disclose the intended use of their vehicles to their insurance provider to ensure appropriate coverage and to comply with Texas regulations.
