It is imperative for businesses to buy commercial vehicle insurance to protect themselves against liability and loss in case of accident or theft. Commercial vehicle insurance becomes more important when you allow employees or others to drive a commercial car or when you own multiple vehicles. Before understanding how to pick the best commercial vehicle insurance, it will be helpful to know about the types of commercial vehicle insurance coverage.

Types of commercial vehicle insurance coverage
Commercial vehicle insurance covers injuries, death, or property damage that may arise from an accident. There are many types of commercial vehicle insurance coverage, including:

Liability coverage
This coverage pays for bodily injury or damage caused to another’s property.

Collision coverage
This coverage pays for vehicle damage if the vehicle is hit by another car or an object.

Comprehensive coverage
This coverage pays for vehicle damage due to theft, vandalism, water or fire, and other hazards.

Personal injury protection
This coverage covers medical and funeral expenses resulting from a covered accident.

Uninsured or underinsured motorist coverage
This coverage pays for your injuries and, in some cases, property damage caused by an uninsured motorist. It also includes underinsured motorist coverage when the driver at fault does not have enough insurance to cover the costs.

Medical payments coverage
This coverage pays for the medical expenses of those hurt in your car during an accident, regardless of the fault.

Rental reimbursement
After an accident, rental reimbursement coverage will pay for your car or public transportation fares while your vehicle is being repaired.

For choosing the best commercial vehicle insurance policy, here are some steps that you should follow:
Determine your coverage needs
Most people make the mistake of buying the minimum coverage. Instead of paying for lawsuits, it is best to buy coverage beyond the minimum. A commercial vehicle insurance policy with good coverage will ensure that your company is always protected. You might consider collision coverage to cover the cost of damage to your vehicle in an accident. Comprehensive coverage will cover damage from other hazards too. However, the amount of collision and comprehensive coverage your business needs will depend on the number of vehicles you own, the age of the vehicles, and other factors. Additionally, you might need medical payments coverage to cover the medical expenses of employees injured in the vehicle owned by your company.

Cost of Insurance
Commercial vehicle insurance is more expensive than personal auto insurance policies because the risk involved is greater. However, the cost will depend on various factors – the number of vehicles you want to insure, the type and value of vehicles, the coverage limits and deductibles, employee driving records, and location and mileage. Usually, more coverage results in higher monthly premiums and lower deductibles. As a business owner, you may want to save as much money as possible and opt for a lower premium and higher deductibles. But before considering this, make sure it is worth it. Higher deductibles are a great option when you are less likely to file many claims. But on the other hand, a lower deductible will be more beneficial to get the most out of your insurance.

Get multiple quotes
With numerous commercial vehicle insurance companies offering a wide variety of coverages, the options to choose from are endless. Insurance rates vary widely from company to company, making it important to shop around to save on your commercial vehicle insurance policy. To get the coverage, you need for the best price, make sure to ask for quotes from at least three different commercial vehicle insurance companies. This way, you will find the company offering the best price for your coverage needs. You can ask for online quotes, call the companies directly, or you can even get in touch with an insurance agent.

Look for discounts
Before buying a policy, check out the discounts provided by different insurers. This is a great way to reduce your premiums significantly. Some insurers give good discounts if you pay the complete policy premium upfront or if you have been in business for more than three years. While others may offer discounts for having a good driving record or certain safety or security features in your vehicle. Again, if you insure two or more vehicles through the same insurer, you may be eligible for a bundling discount. Businesses that choose automatic payments may also get potential discounts.

Buying commercial vehicle insurance does not have to be an overwhelming task. However, if you are still in doubt, discuss your coverage needs with a licensed insurance professional who will help you strategically choose the right policy for you and your business.