As a business owner, it’s important to consider all aspects of risk management, including commercial auto insurance. Whether you have one or up to five company vehicles, accidents can happen on the road at any time. Having the right insurance backup can help you handle the situation with minimal losses.
Illinois commercial vehicle insurance not only protects your employees and your vehicles, but it also protects your business from the effects of legal action that may arise from an accident.
Additionally, choosing the right insurance can provide you with peace of mind knowing you are covered in the event of an unforeseen mishap, enabling you to focus on leading your business towards success. Ultimately, having commercial vehicle insurance is an investment in the long-term success and stability of your business.
A common misconception about commercial auto insurance is that it’s only beneficial for large businesses or businesses in high-risk industries. Commercial auto insurance is a necessary investment for businesses of all sizes and in all industries, especially for smaller businesses, as it may be harder for a small business to recover financially after an expensive liability suit.
Purchasing commercial auto insurance can be the decision that secures the financial future of your business and its stability. Get started today towards securing your business’s finances.
Get a QuoteWhat Does Commercial Auto Insurance Cover in Illinois?
- Liability coverage This coverage provides essential protection for your business in the unfortunate event of an accident involving your company vehicles. Liability coverage includes the following:
- Bodily injury: Should one of your vehicles cause injury to a third party in an accident, liability coverage steps in to cover the associated expenses.
- Property damage: This coverage covers the cost of repairing or replacing someone else’s property after damage arising from an accident involving your commercial vehicle.
- Collision coverage If your business vehicle is damaged in an accident, collision coverage covers the cost of repairs to restore your vehicle to its pre-accident condition. In more severe cases where the vehicle is deemed totaled (repair value exceeds its actual cash value), the insurer may provide you with financial compensation, subject to policy limits, helping you to purchase a replacement vehicle. Collision coverage has specific limits, including the maximum amount your insurance provider will pay for repairs or replacement costs. In the event of a claim, you will be responsible for paying a deductible, which is a predetermined amount you must pay before your insurance coverage kicks in.
- Comprehensive coverage Comprehensive coverage provides financial protection for your business vehicles against damage caused by non-collision events. Comprehensive coverage has specific limits and exclusions; it’s crucial to learn the details of your policy. Comprehensive coverage protects against a wide range of perils, including:
- Theft
- Vandalism
- Fire
- Hail
- Falling objects
- Uninsured/underinsured motorist coverage (UM/UIM) Uninsured/underinsured motorist coverage (UM/UIM) protects your business from financial losses if you are involved in an accident caused by a driver who does not have insurance or enough insurance to cover the damages.
- Additional coverage Specific coverage limits and exclusions may vary depending on your insurance provider and the chosen policy. Understanding these details is crucial for ensuring your business has the right level of protection. Additionally, exploring optional coverage options can further enhance your protection. While traditional commercial vehicle insurance protects your business-owned vehicles, what if you regularly utilize vehicles for business operations that you don’t own? This is where hired & non-owned auto (HNOA) coverage comes in. This valuable add-on provides essential protection for your business in various situations, whether you’re renting vehicles for short or long-term needs, or utilizing employee-owned vehicles for business purposes. If your business operates large, heavy-duty trucks for transportation, construction, or other specialized tasks, it’s not hard to see that these vehicles pose unique risks and require tailored insurance solutions. Commercial truck insurance goes beyond standard commercial auto coverage and offers comprehensive protection with higher limits and more specialized coverage.
Is Commercial Auto Insurance Mandatory in Illinois?
In Illinois, all businesses are legally required to carry liability insurance for their commercial vehicles. The minimum legal requirements for commercial auto liability insurance vary from state to state. Below is a common example:
- Bodily Injury Liability:
$25,000 per person and $50,000 per accident: This means that your insurance company will cover up to $25,000 for any one person injured in an accident caused by your business vehicle, and up to a total of $50,000 for all injuries arising from the same accident. - Property Damage Liability:
$20,000 per accident: This means your insurance company will cover up to $20,000 for any property damage caused by your business vehicle in an accident.
These minimum legal requirements are just the starting point. Depending on the nature of your business, the types of vehicles you operate, and the risks you face, you may need to purchase additional coverage to adequately protect yourself and your business.
Your Trusted Commercial Auto Insurance Agent in Illinois
As a business owner, navigating the complex world of commercial auto insurance can be overwhelming. While it’s tempting to tackle this process alone, working with an experienced insurance agent from The Insurance Alliance offers numerous advantages that can save you time, money, and stress.
- Expert guidance and tailored solutions An insurance agent acts as your personal guide through the commercial auto insurance maze. They possess in-depth knowledge of different coverage options, risk factors, and industry regulations. This expertise allows them to assess your specific business needs and recommend the most suitable coverage plan, ensuring you have the right protection without overpaying for unnecessary extras.
- Competitive rates and cost savings Having access to a network of insurance providers gives agents the leverage to negotiate competitive rates for your commercial auto insurance. Our skilled agents can compare quotes from multiple insurers and present you with the best options, saving you time and money.
- Risk management and mitigation strategies Beyond finding the right insurance plan, a skilled agent can assist you in identifying potential risks associated with your business and develop strategies to mitigate them. This can involve implementing safety protocols, conducting regular vehicle inspections, and maintaining proper documentation, ultimately reducing the likelihood of accidents and lowering insurance costs.
- Claims assistance and support In the unfortunate event of an accident, your insurance agent becomes a valuable ally. They will guide you through the claims process, ensuring you submit the necessary paperwork and receive the compensation you deserve. Their expertise and support can save you time and hassle during a challenging period.
- Long-term relationship and advocacy As your business evolves and your needs change, your insurance agent will be there to adapt your coverage accordingly. They will monitor market trends, inform you about new coverage options, and advocate on your behalf with insurance companies. This long-term partnership ensures you have consistent, reliable support for all your Illinois commercial auto insurance needs.
Illinois Commercial Auto Insurance FAQs
Premiums vary depending on several factors such as the type and number of vehicles, driving record, location, and chosen coverage levels.
There are several ways to save, such as maintaining a good driving record, bundling policies, increasing your deductible, choosing a higher credit score, and seeking discounts offered by your insurance company.
In Illinois, all businesses are legally required to meet set minimum standards for liability insurance for their commercial vehicles. Other components of a commercial auto insurance policy, like collision coverage or comprehensive coverage, are not legally required, although highly recommended.