Just like you need auto insurance for your own car, you also need business auto insurance to cover your business-owned or leased vehicles. If you, or any of your employees listed on the policy have an accident while operating your business vehicle, your commercial auto policy will help pay to repair or replace the vehicle. Most importantly, it will also pay the claims of any third-party injury in the accident.

It is also highly recommended for a business owner to purchase a hired auto and non-owned owner coverage. This coverage covers bodily injury and property damages caused by a vehicle you hire or when your employees use their personal vehicles for the business.