Buying a commercial bus is a very large investment that can be quite profitable for your business. Charter bus companies may hire out transportation services to private clubs, organizations and local school sports leagues. Travel and tour bus businesses profit from simple sight-seeing day trips to longer travel adventures for a group of people. Commercial bus lines provide transportation between major cities and destinations. Company owned buses are not cheap to lease or purchase, thus they become a significant investment for your business. When those buses are damaged or destroyed due to auto accidents or other unexpected events, the cost of repairs can be too much for your company to handle all at once. That is why it’s so important to make sure your bus is protected with the most auto insurance that it can be. Here are the primary types of commercial auto insurance coverage you should carry on your company bus:
- Liability Insurance – Accidents happen, and sometimes your bus driver will be the one who is at fault. When your bus is involved in an auto accident that your driver caused, your company is required by law to pay for any damages and injuries that were caused. Liability insurance provides that basic level of protection. It helps protect your company from the severe financial strain that accident bills can cause. Since liability insurance is mandated by law in most parts of the United States, it also helps keep your bus legal for driving on the road. Liability insurance protects you in two key areas: Physical injuries and property damages.
- Bodily Injury – Bodily injuries is physical harm. When your company bus is found to be at fault in an auto accident and one or more people in the other vehicles suffered physical injuries, the bodily injury portion of your liability coverage will pay for their medical care. Bodily injury coverage pays for the cost of emergency transport to the hospital, emergency medical services, extended hospital stays, the cost of rehabilitation and recuperation, and related medical expenses that result from the accident. This part of your insurance also pays the victim’s funeral expenses if someone is injured fatally, and it can pay for lost wages due to time off work or pain and suffering.
- Property Damage – When your bus is in an accident that it caused or was at fault for, other property may have been damaged. Another car may have gotten dented for example. The property damages portion of your liability insurance coverage pays the repair bills so that damaged property can be put back to the way it was before the accident.