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When looking for commercial vehicle or van insurance in small to large towns from Reading to Philadelphia and beyond, there are a few points to consider, and some tend to get lost in a potential insurance minefield – here are a few frequently asked questions many ask when searching for the right insurance for their small business.

Is it hard to insure a vehicle for commercial use?

Not really. Anyone can apply to insure a commercial vehicle, (for example, a van), but they will find they are restricted when it comes to personal or private use of that vehicle. As long as the vehicle falls under commercial use, like delivering goods or providing a service (say, if the owner is a builder just using the van to get from A to B) then it is much easier to obtain insurance than if the applicant also wanted the vehicle for private use.

Define ‘commercial vehicle’?

Not sure if your vehicle falls under the right guidelines? Here are the main types of commercial vehicle:

• Goods-carrying vehicles: this is the most common type of commercial vehicle, used to transport products or necessary items for services. This can range from small cars and vans to larger trucks.
• Passenger-carrying vehicles: this applies to buses, coaches, and hire cars.
• Forestry and agricultural vehicles
• Special construction vehicles: vehicles that serve a particular purpose are known as ‘special types’ of vehicle and apply to ambulances, fork-lift trucks, and cranes.

What about windshield coverage?

Windshield coverage usually comes down to the insurance company and the level of coverage taken out, but this type of coverage is typically available for commercial vehicles as a policy extra, under "Comprehensive" coverage.

How can I lower my van insurance premium?

There are a number of ways that some companies do this, but here are three ways for customers to reduce their premiums:

• Usage - how the vehicle is used can lower your insurance premiums.  If you park the van at one jobsite for the day will be a lower cost than if you travel to mutiple locations during the day.
• Safe drive Badge – a simple sticker on the back saying ‘How’s my driving?’ with a number on the back (preferably to the insurance company) will also reduce premiums. This is because anyone driving dangerously will obviously be reported by other drivers, hypothetically making the driver in question more cautious about their driving.
• Driving Convictions – this is a simple one; don’t acquire any speeding convictions. Insurance companies tend to ramp up the premiums for people who have previous driving convictions. 

Get Help - Get the Right Commercial Vehicle Insurance for Your Car, Van, or Truck

Searching for Commercial Vehicle Insurance?

When looking into insuring a company car, van, or pickup, you will find commercial vehicle insurance and regular auto insurance are entirely different animals. But although the products available differ greatly, the basic principles apply when it comes to finding the best policy for a particular small business – be it auto insurance for a private, or commercial vehicle.

A commercial vehicle insurance policy normally is required when a van or pickup truck is used in a trade or occupation to earn an income.  Be careful: most personal auto policies exclude business use for these types of vehicles!  A private passenger auto can be insured on either a personal auto policy or a commercial auto policy.  The difference is commerical policies usually are higher priced due to the business usage. Most insurance companies do not allow personal insurance on a vehicle that is used by employees.

As long as this is understood, finding a product that works best for an individual company’s needs should be fairly simple. In the same way that the Internet holds many of the answers when it comes to finding affordable private vehicle insurance, the same can be true when looking for the most fitting commercial vehicle insurance. It’s a great starting place, and many businesses can learn the basics with a simple search and compare website. 

Research Online

Many auto insurance providers also offer commercial vehicle insurance, but going there in person could take much longer than doing some basic research online.  This is because commercial vehicle insurance quotes can take much longer to prepare than quotes for regular car insurance. Therefore, consider searching online first to become educated about business vehicle insurance policies and companies, but understand that receiving expert advice is very important before making a purchasing decision.

Seek Advice Before Buying Insurance for Your Commercial Vehicle

For people who are new or inexperienced in buying commercial vehicle insurance, it is especially wise to seek advice from others who have gone through the same process. This will help to give an idea about how the application process works, which product is best, and also things to look out for or hidden traps NOT to fall into.

The claim process, for example, should be quick and easy – so choosing the right policy shouldn’t just come down to price. If an insurance company is slow and cumbersome, this boils down to money lost from any potential business.

An insurance expert can also give advice for those who are unsure of which company to pick for their commercial vehicle insurance, and will be able to help compare various quotes to find the best and most suited for an individual business. However, make sure the insurance agent is not tied to a single company who will pressure them to recommend their policies over others.

Check Out All the Insurance Options

Depending on the company and the number and types of vehicles a business owner wants to insure, there may be more options or deals available, so look out for that. Companies are also known to offer discounts for particular business models or vehicle usage, so be sure to get multiple quotes covering multiple insurance brands before making that important final decision. 

Make Insurance Competition Work for You

A knowledgable insurance agent offering a variety of competing insurance companies is well positioned to recommend the right coverage for your commercial vehicle at the best price. That's why American Insuring Group offers policies from several competing carriers. We're well-positioned to find you the right policy at the right price. 

Contact Us today for a free, no-hassle consultation.