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Realtor’s Need for Commercial Auto Insurance
Posted on: November 4, 2015 by Newmark Insurance
A variety of businesses require driving and commuting, whether it’s carrying passengers, deliveries, or otherwise. While personal auto insurance should be carried, this coverage does not cover business operations. Instead, a Real Estate Business Auto Policy can provide the necessary protections for your needs.
Imagine, for example, you are transporting a client to a property you have listed. In the unfortunate event you have a collision and your passenger, your client, is injured, a personal auto insurance policy will likely not cover the damage and potential medical costs of this accident as you were using your vehicle for business purposes. Conversely, a business auto policy will cover medical expenses and damage fees incurred while on the clock.
Another factor that real estate firms should consider is the non-owned auto liability protection that business auto coverage provides. This protects against claims against your business if an employee has an accident while using his or her own vehicle for business purposes.
As a realtor, you are likely transporting clients daily, commuting back and forth between the office and listings, traveling to set up open houses, and more. This type of activity, as mentioned previously, would disqualify any accidents from coverage by your personal insurance company.
There are exceptions, however. Personal insurance coverage may determine business activity eligible for coverage if the vehicle is a van or a truck, which is ideal for commercial use. Bear in mind that these policies limit the amount of business use for your personal vehicle. If the vehicle is intended for “regular business use,” the insurance company will disqualify your car from personal auto coverage.
Put simply, the DMV states that depending on your employer and/or your own business, you might need higher liability insurance, as well as additional coverage add-ons to make sure you, your employees, other individuals, your vehicle, and your business are fully protected.
If you are uncertain about the specific limits and coverages of business auto insurance, contact your local trusted insurance agent to discuss your circumstances. At NewMark Insurance Services, we specialize in the real estate industry and strive to provide ample coverages to fully protect their operations. To learn more about our products, contact us today at (855) 777-6549.