Does your personal auto insurance policy cover you when you’re doing business related activity?
It’s a great question and it’s a question that most people don’t even think about. They automatically assume that no matter what they’re doing in their vehicle, their auto insurance policy is going to cover them. But that’s not the case.
Think about it this way
It’s called a personal auto insurance policy for a reason. It’s not called a business auto insurance policy. So if you’re doing anything business related in your vehicle, you need to contact your agent and make sure that you’re covered sufficiently.
There’s generally two things you can do
The first thing is if the business exposure is not that great, many personal auto insurance policies will allow you to add an endorsement onto your policy or to classify as part time business use. But it depends on the industry.It depends on what you’re doing.
The second option is to get a commercial auto insurance policy.
But whatever you do, you need to call and you need to disclose that information to your insurance agent so that they can make sure you’re covered and make sure that there’s no gaps in coverage. Because if you’re driving your personal auto for business purposes and something happens while you’re driving it for that business purpose and your auto insurance company knows that your personal auto insurance company knows that, you’re not going to have coverage. And all the damage that you caused, both physical damage to other vehicles and medical injuries to other people is going to fall back on you and your going to be responsible for that. So if you’re doing any type of delivery, chauffeuring clients around for whatever reason, you need to make sure that your insurance company knows that, that it’s rated properly, and that you have coverage in the case that something happens. So call your agent today, make sure they’re aware of it.