Commercial Auto
Commercial Auto Liability Insurance
Coverage that can help address bodily injury and property damage liability arising from an accident involving a business vehicle, subject to policy terms.
What commercial auto liability insurance is
Commercial auto liability insurance is the part of a commercial auto policy generally built around claims from other people after an accident involving a business vehicle. It typically has two components: bodily injury liability, connected to injuries to others, and property damage liability, connected to damage to someone else’s vehicle or property.
This coverage does not address damage to your own vehicle. That is generally handled through physical damage coverage, reviewed separately.
Who typically needs this coverage
- Businesses that own or lease company vehicles
- Businesses whose employees regularly drive for work
- Businesses with contract or lease requirements for minimum liability limits
Coverage
What it may cover
Depending on the policy, commercial auto liability may help with bodily injury liability for covered injuries to others involved in an accident with a business vehicle, property damage liability for covered damage to another person’s vehicle or property, and defense costs associated with a covered liability claim. Coverage does not extend to every accident or driver; exclusions, limits and underwriting requirements apply, and not every risk is automatically covered.
Risk
Business vehicle accident exposures
Liability exposure connects directly to how vehicles are used: delivery routes, client visits, employee commuting between job sites, and the number and experience of drivers on your policy. Businesses with multiple drivers, higher mileage or vehicles used for hire generally face different exposure than a business with a single vehicle used occasionally. Reviewing your fleet size, driver list and typical routes helps identify appropriate liability limits.
Valoridge
How Valoridge helps
Valoridge reviews your vehicles, drivers and typical use, then helps identify liability limits and coverage options that reflect your operations and any contract requirements. We help you compare available options and assist with certificates and policy service after coverage is placed.
Explore
Related commercial auto coverage
Liability is one part of a complete commercial auto program.
Commercial Auto Insurance
The core commercial auto page covering business vehicle coverage overall.
Explore pageCommercial Auto Physical Damage
Coverage that may help address damage to your own business vehicle from collision or other covered causes.
Explore pageHired and Non-Owned Auto Insurance
Coverage for vehicles your business rents, hires or borrows, and employee-owned vehicles used for business.
Explore page
Commercial Umbrella Insurance
Additional liability limits that may sit above certain underlying business liability policies, subject to policy terms.
Explore pageFrequently Asked
Questions business owners ask
Straightforward answers about commercial auto liability, tied to policy terms and insurer requirements.
What does commercial auto liability insurance cover?
Commercial auto liability can help address covered bodily injury and property damage claims made by others after an accident involving a business vehicle, along with associated defense costs, subject to policy limits and terms.
Is commercial auto liability the same as physical damage coverage?
No. Liability coverage generally addresses claims from other people after an accident, while physical damage coverage (collision and comprehensive) generally addresses damage to your own business vehicle.
What liability limits should a business carry?
Appropriate limits depend on your operations, vehicle use, contract requirements and risk tolerance. Some client or lease contracts specify minimum liability limits your business must carry.
Does commercial auto liability cover every accident?
No. Coverage is subject to the terms, exclusions and limits of the policy, and not every incident or driver may be covered. Reviewing your policy and drivers with your advisor helps clarify what applies.
Who needs commercial auto liability insurance?
Any business that owns, leases or regularly operates vehicles for business purposes, including company cars, vans, pickups and certain commercial trucks, commonly needs this coverage.
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