Personal vs Commercial Auto Insurance

You may wonder why it makes a difference to your insurance if you are driving the car for personal reasons or for work, but it makes a big difference. Personal car insurance and commercial car insurance have different risks and the policies are written differently. Car insurance is very important for individuals and for businesses and it is important to understand the difference between the types of car insurance.

          Personal car insurance is for personal use for the individual and family. If you have a vehicle that you drive to and from work or just to do everyday errands it is necessary to purchase, at the least, liability insurance. Liability insurance covers injuries to another person or damages to another person’s vehicle that you are deemed as at fault. There are other optional insurances that can be purchased, however are not mandatory.

           A commercial car insurance policy is needed for any company that has commercial trucks or business vehicles. This type of policy is in the company’s name and can specify certain details such as which employees are covered when driving the vehicle. Commercial insurance is more comprehensive than personal car insurance. This is due to the fact that these vehicles have more driving exposure. Many companies use their vehicles for everyday business use around town or even on very long distance road trips. Liability is also mandatory and is much higher than for someone who only uses their car for personal reasons. There are multiple types of commercial car insurance that can be purchased.

            At John E. Peakes Insurance Agency our agents will make sure you are have the correct auto insurance so you will be covered in any situation. We will personalize the insurance to each customer’s specific needs and will work to make sure to get the best rate possible. We want our customers to be covered on the road and we are here to make the process of insurance a pleasant one. So visit us at www.peakesinsruance.com or call one of our talented agents and get started today!