All About Types of Commercial Vehicle Insurance

Commercial Vehicles play a crucial role in our daily lives. They are a great mode of transportation and powerful vehicles capable of carrying out arduous tasks. Commonly used commercial vehicles usually include trucks, trailers, buses, taxies, coaches, carriers, vans, tractors, cranes, bulldozers, etc. These vehicles solve several purposes ranging from transporting goods within cities to inter-state passenger tours and travel. Besides, the logistics in businesses greatly depend on commercial vehicles. This factor makes it mandatory for all businesses to have commercial insurance for owned vehicles.

Commercial Vehicle Insurance gives coverage to a commercial vehicle when any damages or losses are caused by a third party, or if it causes any damage or losses to a third party. It can further be customized to include coverage for losses and damage incurred during accidents, natural calamities, fire, etc. While these commercial vehicles contribute significantly to the transportation of several businesses, they are also prone to accidents and unforeseen damages caused by natural calamities. There are two main types of Commercial Vehicle Insurance. Let’s take a look at both:

Comprehensive Commercial Vehicle Insurance

As the name suggests, Comprehensive Commercial Vehicle Insurance offers full coverage to a commercial vehicle in case of any circumstances that could generate undesired expenses. As commercial vehicles are hefty machines performing tasks, the cost of their repairs, etc., are correspondingly large. Therefore, having a Comprehensive Commercial Vehicle Insurance offers coverage against uncertain damages such as fire, theft, robbery, flood, earthquake, etc. It also provides cover to third party property or persons in case of loss or damage.

Third-party Liability Commercial Vehicle Insurance

Often, commercial vehicles get caught in unfortunate accidents that involve a third party. In times like this, Third-party Liability Commercial Vehicle Insurance offers protection to the third-party property or person or the vehicle. It covers damages ranging from injuries like minor bodily injuries to the demise of a third party. This type of policy came into being keeping in mind the need for safeguarding commercial vehicles from accidental expenses.

Since commercial vehicles solve a specific purpose and are used for heavy-duty tasks, it must be ensured that their activities do not harm third parties. At the same time, having commercial vehicle insurance helps cover the repair and maintenance costs of these vehicles.

Importance of Commercial Vehicle InsuranceIn a day and age where businesses are growing exponentially, commercial vehicle insurance plays an important role. Having commercial vehicle insurance allows you to focus on your business solely and not be bothered by any incurred expenses from third party losses. It also provides cover against losses caused by natural calamities like floods, earthquakes, etc. Additionally, it provides lawsuit coverage against the insured, which also includes legal fees. Hence, it is imperative to get commercial vehicle insurance for your commercial vehicle to make it more safe and secure for your business.