Commercial Auto & Fleet Insurance
Contact us today to get affordable and flexible fleet or commercial auto insurance for your business with Rogers Insurance. We offer fleet and commercial auto insurance quotes online, by phone, or in-person at our offices.
Commercial Auto Insurance Basics
Commercial car insurance is designed to protect your company’s automobiles and related liability.
Why do businesses need Commercial Auto Insurance?
Personal car insurance won’t usually cover vehicles registered in a company’s name nor does it offer protection if you use your vehicle for work purposes beyond commuting.
Commercial vehicle insurance is specifically for businesses and is adaptable to your needs. It helps you protect your assets, including tools and equipment in and on your work vehicles, as well as survive the financial burden of an accident. It also usually has the benefit of being able to have a single renewal date and easier additions and removals of vehicles.
Commercial vehicle insurance is required by law in Alberta. Mandatory coverage includes third-party liability, accident benefits and direct compensation for property damage.
Commercial Vehicle Insurance vs. Fleet Insurance
Fleet insurance is generally commercial vehicle insurance for a larger number of vehicles, usually at least 4. The benefits of fleet insurance include group rates and potential discounts. Some policies will also automatically cover new vehicles – with restrictions and requirements, of course, but this is handy if your business changes vehicles throughout the year.
Coverage options for Commercial Vehicle & Fleet Insurance
Many of the coverage options are similar to regular car insurance.
There are many different available coverages. Here are a few:
Third-party liability helps cover injuries to third parties and legal expenses if your company is sued after an accident. Accident benefits covers medical and other benefits for employees and passengers in your vehicle. Direct compensation for property damage covers repairs to your vehicle if you’re not at fault or partially at fault for the collision.
This covers physical damage to your vehicle(s) if you’re involved in an at-fault (or no-fault) accident.
This covers physical damage to your vehicle(s) caused by things other than accidents, such as theft, fire, and storms.
Third-party liability, accident benefits and direct compensation for property damage insurance are required for all vehicles in Alberta, commercial or otherwise. It’s particularly important for companies, however, as you’re more likely to be sued if your vehicles are involved in an accident.
Collision and comprehensive are usually sold together as a package. This coverage is what will help you repair or replace your vehicle if it’s damaged outside of a collision or if you’re at fault or partially at fault in an accident. If you’re not at fault, your direct compensation for property damage coverage should cover repairs.
There are also a wide variety of “endorsements,” which is insurance lingo for add-on coverage. Here’s a list of the most common optional coverage for fleet and commercial vehicle insurance:
- SEF 4 – variations of this add-on coverage allow you to carry different dangerous materials.
- SEF 6 – variations of this add-on coverage allow you to carry passengers for money.
- SEF 20 (Loss of Use) – if your vehicle is involved in a covered claim, you’re eligible for funds for public transit, taxis, or rental cars to help you (or your employee) get around.
- SEF 21 (Fleet) – The endorsement for fleet insurance.
- SEF 35 (Emergency Service Expenses) – Covers emergency service fees and towing costs.
- SEF 36 – If you’ve registered a personal vehicle in your company’s name and want to use it exclusively for personal use, this add-on allows you to do so.
There are many more options for your commercial vehicle insurance. You’ll also need to determine the following:
The amount you pay in the event of a covered claim. The lower this amount, the higher your premiums.
This determines the maximum amount your commercial vehicle or fleet insurance will payout in the event of a claim. There may be separate limits for different parts of your policy.
If you have physical damage coverage, you’ll need to decide on what your loss settlement will be. This is essentially what you’ll receive if one of your company’s vehicles is a write-off or total loss. Your options will depend on the vehicle’s age and your industry.
Our commercial auto and fleet insurance brokers can help you determine what insurance you need and balance it with your budget to find coverage that works. We can also get you different commercial auto or fleet insurance quotes and compare the costs to help you make the decision.
How much does Commercial Auto or Fleet Insurance cost?
The price of commercial vehicle and fleet insurance will depend on a variety of factors, including:
- Your insurance and claims history – The longer you’ve been consistently insured and the fewer claims you’ve had, the better for your rates.
- Your driving record – The driving record of you and anyone else who will be driving your company’s vehicles is critical to determining your commercial auto insurance rates. Even one speeding ticket can impact premiums.
- The number of vehicles you’re insuring – The more vehicles you insure, the more expensive your policy.
- The value, make, model, and year of the vehicle(s) – You may have vehicles of a single type or you may have many different ones. Either way, the value, make, model and year of the vehicle(s) affect your commercial vehicle or fleet insurance costs. This information helps determine how expensive the vehicle is to repair or replace as well as the claim and theft rates.
- Where you operate your business – The claim and crime rates of your neighbourhood, as well as the frequency of natural disasters, will impact your commercial auto insurance rates.
- How you store your vehicles – Do you park your company’s automobiles in a garage or in a secured lot? Or are they parked on the street? The more protected your business assets are from damage or theft, the lower your rates may be.
- How you use the vehicles – Your commercial auto insurance or fleet insurance rates will vary depending on how you use your company’s vehicles, including how much they’re driven, what they transport, and where they go.
- Your coverage options – Finally, your commercial auto insurance options will impact the price. Your deductible, loss settlement, policy limits and coverage choices all influence the final price.
Generally, commercial auto insurance is more expensive than personal car insurance as it is considered to be higher risk. As a company, you are more likely to be sued if one of your vehicles is involved in an accident. You may also have employees driving your company vehicles or use them for higher-risk activities such as construction or product transportation.
There are a few ways you can save on your commercial auto insurance costs, however, including:
- Vetting drivers – Your employees’ driving records can significantly impact your commercial auto costs. Even one speeding ticket can raise prices. It’s important to request a driving abstract from everyone who will be allowed to operate your company’s vehicles. It may not be worth the extra cost to insure a driver with a bad record.
- Be exclusive with who you allow to drive. Only allow employees to drive if they’re good drivers and if it’s necessary for their job. The more people on your policy, the more expensive it can be.
- Provide or require specific training. Your drivers should be properly trained to do their job. They should understand their duties and responsibilities through proper training. If they’re expected to drive in difficult conditions, they should take additional advanced driver training.
- Design, implement and monitor clear rules and safety procedures. There should be clear rules and safety procedures around driving. These should be communicated and adherence should be monitored and enforced. Unsafe driving puts your employee, your business, and others at risk.
- Carry out regular maintenance and inspections. Ensure all vehicles are regularly inspected and properly maintained. It’s a good idea to keep a logbook. This may be required by law for certain vehicles in certain industries.
- Use winter tires. Equipping your vehicles with winter tires makes them safer to drive during the colder months of the year.
- Install anti-theft and tracking devices. Anti-theft devices can prevent theft and help lower your commercial auto insurance rates as many insurers offer discounts if these devices are installed.
Working with Rogers Commercial Auto & Fleet Insurance brokers
As one of Canada’s leading independent insurance brokers, we’re proud to offer exceptional customer service and true competition and choice with your commercial auto and fleet insurance. Because we’re independent, we work for you, not an insurance company. We have access to a large number of markets, which means we can deliver competitive commercial auto insurance quotes.
Our professional and experienced brokers specialize in commercial auto. With their industry and insurance expertise, you can trust that you’re getting the best value for your money when it comes to coverage and cost. Our commercial auto and fleet insurance brokers can help you determine your needs and find you a coverage that fits your budget. They’re your insurance and risk-management resource as well as your advocate if you have a claim.
We believe in a hands-on, human-first approach to insurance that has set us apart since we started in 1977. You’ll notice the difference with Rogers Insurance from quote to claim.
Request a commercial auto or fleet insurance quote online, by phone, or stop by one of our offices.