Commercial Auto Insurance for General Contractors
General contractors travel frequently between work locations, the company offices and customer jobsites. Whether you or your company employees travel in personal vehicles, light-weight pickup trucks or company owned contractor vans, it is very important for you to carry general contractor’s auto insurance to fully protect your company’s assets.
Commercial auto insurance for general contractors helps protect your company from financial hardships that are frequently caused by an auto accident. When an auto accident happens it can damage or possibly destroy the vehicle your employee is driving. Severe enough accidents may ruin the professional tools and contracting equipment he was transporting. Your auto coverage can protect you from these expensive losses. Depending on the options you choose for the policy, it protects you from vehicle and equipment losses, or harm that is caused from roll overs, collisions, or fire and theft. With the bodily injury portion of your coverage, drivers and passengers in the vehicle will have medical care costs paid for as well.
Commercial Auto Liability Insurance For General Contractors
Commercial auto liability insurance for general contractors is required by law in most states, as a basic form of protection when you or your employees cause an auto accident. This insurance can protect vehicles that are used for work specific purposes, and it serves to protect your company as well as other drivers involved in the accident. Liability insurance protects your company by limiting the amount of auto accident damages you will have to personally pay for when your driver is at fault. It also protects accident victims by paying for damages or physical injuries that they didn’t cause. Liability auto insurance for general contractors protects you and your employees while you are driving a vehicle for work purposes. When employees are driving concrete to a job site location for example, or delivering tools and machinery, your general contractor’s commercial auto insurance coverage takes care of accidents that might arise.
Combined Single Limits
A combined single limit (CSL) liability policy sets a maximum payout amount per accident. This policy does not set limits on payouts for bodily injury or property damages. Instead, it gives your company a fixed amount of coverage up to the maximum amount listed in your policy. For example, if one of your employees has an accident that causes several people to seek medical treatment, the majority of your CSL policy payments will be applied to bodily injury expenses since that is where they’re needed the most.
Split Limit Policy
A split limit auto insurance policy will only pay certain amounts based on the types of damages sustained. Each state in the country has laws about the minimum coverage you can legally carry. Your specific policy agreement sets the maximum limits that will be paid for either property damages or bodily injuries.
For example, if you choose a split limit policy of $100,000/$300,000/$50,000 for your commercial general contractor’s auto insurance:
- Your policy would pay no more than $100,000 for each individual’s bodily injuries.
- Your policy will pay no more than $300,000 for the combined total of bodily injuries.
- Your policy will pay no more than $50,000 for the combined total of property damages.
Physical Damages Coverage
Physical damages coverage gives you an additional level of protection for your business vehicles. For example, if one of your employees is driving the company concrete mixer and has a collision with the loading dock, that that truck will need to be repaired. Having physical damages protection on your business auto insurance policy means that those repair expenses will be covered for you.
Physical damage insurance coverage may include:
Other Optional Coverages
- Medical Payments
- Uninsured/Underinsured Motorist