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Business Auto Insurance

What is Business Auto Insurance?

Business auto insurance helps cover the costs of an auto accident if you or an employee is at fault. This coverage can help pay for damaged property and medical expenses - even in the event of a fatal accident.

Business auto insurance can help protect business owners and their companies if, for example:

  • An employee causes an auto accident while driving one of the business vehicles or even driving their own car for business-related errands or activities.
  • You swerve off the road while driving in a company vehicle and cause damage to someone else's property.

Business Auto coverage for veterinarians

One of the greatest risks you face in life is a belief or thought that "it" can't or won't happen to you. Ultimately, only you can decide what "it" may actually be. Perhaps, it could be a client suing you for malpractice or an employee stealing $25,000 in inventory so they can finance a drug habit you were unaware of.  "It," can also be a catastrophic auto accident.

As a result, many veterinarians choose low personal auto liability limits because it can be too scary to think about one day causing a horrible car accident that results in serious injuries or death to another person. It becomes too easy to chase saving 15% in 15 minutes with Geico or believing that Jake from State Farm has your best interest in mind. But unlike insurance for personal autos, business auto liability limits are typically higher. However, there should be no difference in the liability limits you choose personally or for a business vehicle.

Purchasing insurance is a transfer of risk, period. And auto accidents are the quickest way to have a nuclear-sized liability claim against you personally or your business. But if you also consider the fact that society views you as a 1%er because you are a doctor, in the United States, you will always be a carrot for any ambulance-chasing attorney. For that reason, we always recommend taking the highest liability limit you can on an auto policy, regardless of whether it is a personal vehicle or a business auto.

However, business-related vehicles may need more comprehensive insurance protection, especially if special equipment is installed in the vehicle. The repair shop or spare parts are only part of the expense, but many others appear as you start this business insurance process after an unfortunate incident.

It is essential to hold some auto coverage, even if your business does not own any vehicles. If your veterinary practice provides off-premise customer service or any vehicle is used to run errands, you will need coverage in the event one of those vehicles causes an auto accident while performing duties for your business.

One of the most common daily occurrences in a veterinary hospital is running routine errands. If any employee uses their own vehicle to perform these duties and causes an auto accident, you can be sued very quickly. For this reason, in the absence of a business auto policy, we recommend adding Hired & Non-Owned Auto Liability to a Business Owners Policy (BOP). However, if you have a vehicle titled in the business name, it would be better for you or any staff to drive the business auto first and also insure if with a business auto insurance policy.

Business Auto coverage types

Business automobile policies include property damage, liability insurance, and more:

  • Liability coverage protects your business from claims for injuries and damage to individuals and property. It is required by law if you want to own a vehicle.
  • Underinsured Motorist coverage helps pay your expenses if you're hit by an underinsured driver. In some states, Underinsured and Uninsured Motorist coverage is combined.
  • Uninsured Motorist coverage protects you if you're in an accident with an at-fault driver who doesn't carry liability insurance.
  • Collision coverage provides protection against vehicle damage not caused by a collision with another vehicle.
  • Comprehensive coverage addresses all damage to a vehicle, including acts of nature, theft, and vandalism
  • Hired Auto Liability coverage protects your business from claims for injuries and damage to individuals and property caused by a vehicle that you rent (<12 months).
  • Non-Owned Auto Liability coverage protects your business from claims for injuries and damages to individuals and property caused by a vehicle that you do not own. This is the primary reason why we always recommend an Umbrella Insurance policy because employees can cause catastrophic claims, especially when they get behind the wheel of a car.

What vehicles does Business Auto Insurance cover?

Business auto coverage is more extensive than personal automobile insurance policies. Covered autos include:

  • Cars
  • Trucks
  • Mobile veterinary hospitals (Laboit, Ford E450, etc.)
  • Trailers

Veterinary practices have particular needs when it comes to coverage, especially auto insurance. These policies handle situations that may never arise with other businesses while working with animals. Vetinsure specializes in providing coverage tailored to the veterinary industry and working with various insurance companies to provide the best protection for your practice.

Does your practice need business automobile coverage? Call Vetinsure today at (800) 272-1249.