Auto Liability

Why require Auto Liability Insurance ?
Who needs Commercial Auto Liability insurance?
What are the different types of Commercial Auto Liability?

Just like General Liability insurance, Commercial Auto Liability insurance covers claims for bodily injury or property damage that may occur while operating a business.

However, any claims involving the operation of a motor vehicle are excluded from most General Liability policies.

For this reason, businesses that use vehicles in the course of their operations must purchase a Commercial Auto Liability insurance policy to cover associated risks.

A business needs Auto Liability insurance if:

  • The business owns, leases or rents any vehicles
  • The business owns, leases or rents any vehicles
  • Employees drive their own vehicles while conducting business
  • Employees drive their own vehicles while conducting business

A business needs Auto Liability insurance if:

Any Auto

Any Auto is the most inclusive of all forms of Auto Liability and is the equivalent of All Owned Autos, Hired Autos, and Non-Owned Autos coverage categories together. Any vehicles used in a business’s day-to-day operations are covered by Any Auto coverage, regardless of who owns or rents the vehicles. Businesses that do not own any vehicles may not be permitted to purchase Any Auto insurance.

All Owned Autos

Owned Autos are vehicles owned by a business and used during its day-to-day operations. Vehicles owned by employees are NOT covered by this

Hired Autos

Hired Autos are vehicles a business leases, rents or borrows and uses during its day-to-day business operations.

Non-Owned Autos

Non-Owned Autos are vehicles owned by employees and used for company business. When employees drive their personal vehicles to perform activities for their employer, the employer is liable if any accident occurs

Scheduled Autos

Some Commercial Auto Liability policies will explicitly name which vehicles are covered under the policy in a schedule listing the vehicles by make and license plate.