California Commercial Auto Insurance: Cost & Quotes From $12/mo

In California, the price of commercial auto insurance varies depending on many variables, such as the kind of vehicle, the coverage limits, the location of the business, and the driving records of the company and its personnel. Due to the higher risks involved in operating a vehicle for business purposes, businesses should typically expect to pay more for California commercial auto insurance. 

Commercial vehicle insurance California is a vital part of risk management if you run a company in California that depends on vehicles to carry out its operations. Commercial auto insurance offers significant safeguards in the event of an accident or other unforeseen circumstances. For many businesses, especially small ones with tight budgets, the cost of commercial auto insurance can be a considerable expense.

Fortunately, Californians can choose from various low-cost commercial auto insurance solutions. Depending on the type of vehicle and chosen coverage limits, some insurance companies have policies . Cheap commercial auto insurance California starts at  $12 per month. Businesses can evaluate their coverage requirements and compare quotes from several carriers by working with a certified insurance agent to locate the policy that offers the proper protection at a cost that works within their budget.

This article will examine the price of commercial auto insurance in California and offer details on how companies can request quotes and get reasonably priced coverage.

What Does California Consider a Commercial Vehicle?

A commercial vehicle in California is any motor vehicle, or group of vehicles, used to transport persons and/or goods for hire, payment, or profit. One may run vehicles that move people or things as part of a job or commercial operation.

According to the California Vehicle Code, a commercial vehicle moves goods or people for pay or profit or moves people or goods on behalf of a government or nonprofit organization. A few examples of commercial vehicles are buses, taxis, tractor-trailers, and delivery trucks.

Also, commercial cars must register with the DMV and show a unique commercial license plate per California law. Other rules, such as weight restrictions, safety standards, and driver requirements, also apply to commercial vehicles.

It is vital to remember that some cars, such as those used for ride-sharing services or rental trucks, may not appear to be commercial vehicles if utilized for pay or profit. Overall, California’s definition of a commercial vehicle is broad and encompasses a variety of automobiles utilized for transportation or business.


What Are the Requirements for Commercial Auto Insurance in California?

According to California law, every car utilized for business activities or registered in the name of a business must have commercial auto insurance. In the case of an accident, commercial auto insurance coverage shields businesses from the financial burden of liability claims and property damage. Commercial auto insurance quotes California requires the following standards: :

  • Liability Coverage–According to California law, all commercial auto insurance policies must include a minimum liability limit of $15,000 per person, $30,000 per accident, and $5,000 for property damage. Businesses may opt to obtain higher coverage limits to help ensure they are fully protected in the event of a claim.

  • Physical Damage Coverage–Commercial auto insurance packages may also include protection against damage to the insured vehicle. This coverage can shield businesses from paying for the replacement, repair, or maintenance of stolen, vandalized, or destroyed cars.

  • Medical Payments Coverage–Another optional coverage that companies can choose in their commercial auto insurance policies is medical payments coverage. Regardless of who was at fault for the collision, this coverage may assist in covering the costs of the driver and passengers of the insured vehicle’s medical bills.

  • Uninsured/Underinsured Motorist–Coverage Uninsured/underinsured motorist protection is an extra optional insurance that companies may take into account. This coverage may offer protection if the covered vehicle gets involved in an accident with a driver who lacks enough insurance to pay for the damages.

What is the Minimum Auto Insurance Required by CA Law?

In order to legally drive a car on a public road, a driver must have a minimum amount of auto insurance according to California law. The California commercial auto insurance requirements are as indicated below: 


Bodily Injury Liability Coverage

In California, you must have at least $30,000 per accident and $15,000 per person in bodily injury liability coverage. That implies that if you cause an accident and someone gets hurt, your insurance coverage will pay up to $30,000 for all injuries caused and up to $15,000 per individual.


Property Damage Liability Coverage

$5,000 in property damage liability coverage is the bare minimum in California. If you cause an accident and cause damage to another person’s car or property, this coverage will cover the costs.


Uninsured Motorist Coverage

Uninsured motorist coverage is strongly recommended for California drivers, although not required by law. It can protect you if you get involved in an accident with an uninsured driver who is at fault. Uninsured motorist coverage can still cover hit-and-run accidents where the other driver cannot be identified.


Penalties for Driving Without Insurance

It is against the law and might have serious repercussions for driving in California without insurance. If found driving without insurance, you could face fines, license suspension, or possibly having your car seized. 

However, if you cause an accident and don’t have insurance, you might be legally responsible for the other driver’s losses, including their property damage and medical expenses.


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How Important is Commercial Auto Insurance in California?

Businesses in California that depend on vehicles to run their operations must have commercial auto insurance. California commercial fleet insurance offers significant safeguards in the event of an accident or other unforeseen circumstances, in addition to being a requirement by law. The benefits of commercial auto insurance in California are:


Legal Requirement for Commercial Auto Insurance in California

California requires businesses that use vehicles for commercial purposes to carry commercial auto insurance. Failure to comply with this requirement can result in fines, license suspension, and other legal consequences.

California law requires minimum liability coverage for bodily injury and property damage. However, businesses should consider buying higher limits of coverage to ensure they are well protected in case of a claim.


Protection Against Financial Losses

Businesses can protect themselves from accidents and other unplanned events that could cost them money with commercial auto insurance. Suppose a business vehicle is in an accident. In that case, commercial auto insurance San Francisco can help pay for the costs of fixing or replacing it and any medical bills or liability claims that come with it.

Without CA commercial auto insurance, companies might cover these expenses out of pocket. It could be a large financial burden that affects the company’s financial health and even puts it at risk of bankruptcy.


Protection for Employees and Other Parties

Commercial auto insurance might also cover employees and other people involved in an accident with a company car. Commercial auto insurance Sacramento can assist in covering the cost of medical bills and lost wages if an employee gets hurt in an accident while operating a company vehicle.

Commercial auto insurance can also assist in paying for medical costs and other damages if a pedestrian or other motorist gets hurt in a collision with a business vehicle. By doing this, you can defend your company against liability claims and subsequent legal action.



Coverage for Different Types of Vehicles

Commercial auto insurance los angeles can offer coverage for various vehicles, including automobiles, trucks, vans, and trailers. Depending on the kinds of vehicles the business uses, this coverage can be suitable to meet its unique demands.

For instance, companies that transport goods with heavy-duty trucks can need extra insurance for their cargo and other specialized machinery. Companies that transport customers in passenger vans would need to purchase extra insurance to cover liability claims for accidents to passengers.

Risk Management for Businesses

Commercial vehicle insurance California  is an important part of risk management for businesses that need cars to do their work. With enough insurance, businesses can lower the risks of driving, like accidents, theft, and vandalism.

Also, commercial vehicle insurance may help companies keep a good safety record by encouraging safe driving and giving them tools to avoid accidents and other problems.


Peace of Mind for Business Owners

Last but not least, commercial auto insurance gives business owners peace of mind because they know they enjoy the cover in the case of an accident or other unforeseen circumstance.

Business owners don’t have to worry about the financial repercussions of an accident or other occurrence when they have insurance coverage, allowing them to concentrate on running their companies.

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How Much Does California Commercial Auto Insurance Cost?

In California, the price of commercial auto insurance varies depending on many variables, such as the kind of vehicle, the coverage limits chosen, the location of the business, and the driving records of the company and its personnel. Due to the higher risks involved in operating a vehicle for business purposes, businesses should typically expect to pay more for commercial auto insurance than personal auto insurance.

The median price of commercial auto insurance San Diego firms in 2021, was $147 per month or $1,764 per year. However, this is just an average, and the real cost can vary greatly depending on the company. Here’s a table showing the cost of the companies we recommend:

Cost per Month Cost per Year Best for
NEXT $15 $180 Small businesses and independent contractors looking for affordable and easy-to-use commercial auto insurance
The Hartford $18 $216 Businesses that value customizable coverage options and excellent customer service
CoverWallet $21 $252 Small businesses with limited budgets looking for affordable and easy-to-use commercial auto insurance
Hiscox $23 $276 Small businesses and independent contractors looking for customizable coverage options and excellent customer service
Thimble $25 $300 Small businesses and independent contractors with intermittent vehicle usage needs
Tivly $28 $336 Small businesses that need a simple and customizable commercial auto insurance policy at an affordable price
State Farm $100 $1,200 Small businesses that value personalized service
National $110 $1,320 Businesses with unique or specialized insurance needs that require customized coverage options
Progressive $125 $1,500 Small to mid-sized businesses
Farmers $130 $1,560 Small to mid-sized businesses
Travelers $150 $1,800 Businesses that need customizable coverage options


Working with a registered insurance agent is the best option if you want a precise estimate of the cost of commercial auto insurance for your company in California. They can help you figure out how much coverage you need and give you quotes from different insurance companies. Such lets you compare your options and choose a policy that gives you the cheapest commercial auto insurance California. 

Get cheap commercial auto insurance California by comparing quotes. Click on the “Get Quotes” button on this page to start. 

Compare Cheap California Commercial Auto Insurance Quotes Online

Get all the best quotes from leading providers in a click of a button!

Best California Commercial Auto Insurance Companies

For businesses in California, picking the best commercial auto insurance provider is essential. Some of the top commercial auto insurance providers in the state are:


NEXT

Pros

  • NEXT’s platform is user-friendly and easy-to-use, allowing businesses to easily compare and purchase commercial auto insurance policies online

  • They offer a variety of coverage options, including liability, collision, and comprehensive coverage, as well as uninsured/underinsured motorist coverage

  • NEXT provides personalized service and excellent customer support, with a team of insurance experts available to answer any questions or concerns

  • Their policies are affordable and competitively priced, making them a great choice for small businesses with limited budgets

Cons

  • NEXT’s policies may not offer as much flexibility or customization options as some other insurance providers

NEXT is a digital insurance platform that offers commercial auto insurance in California. They specialize in providing coverage to small businesses and independent contractors.

Best for: Small businesses and independent contractors looking for affordable and easy-to-use commercial auto insurance

Average cost: $15 per month 

Our rating: 10/10


The Hartford

Pros

  • The Hartford offers customizable commercial auto insurance plans with coverage options including liability, collision, comprehensive, and uninsured/underinsured motorist coverage

  • They offer discounts for businesses with multiple vehicles and for businesses with safety features installed in their vehicles

  • The Hartford has a solid reputation for customer service and claims handling, with many customers reporting positive experiences

  • Their policies are flexible, allowing businesses to add or remove coverage options as needed

Cons

  • Some customers have reported higher rates compared to other insurance providers

  • The Hartford may not be the best option for businesses with poor driving records or a history of accidents

The Hartford is a highly rated provider of commercial auto insurance in California, offering a variety of coverage options and benefits for businesses of all sizes.

Best for: Businesses that value customizable coverage options and excellent customer service

Average cost: $18 per month

Our rating: 10/10


CoverWallet

Pros

  • CoverWallet’s platform is user-friendly and easy-to-use, allowing businesses to easily compare and purchase commercial auto insurance policies online

  • They offer a variety of coverage options, including liability, collision, and comprehensive coverage, as well as uninsured/underinsured motorist coverage

  • CoverWallet provides personalized service and excellent customer support, with a team of insurance experts available to answer any questions or concerns

  • Their policies are affordable and competitively priced, making them a great choice for small businesses with limited budgets

Cons

  • CoverWallet’s policies may not offer as much flexibility or customization options as some other insurance providers

  • They may not be the best option for businesses with a larger fleet of vehicles, as they primarily cater to small businesses

CoverWallet is an online insurance broker that specializes in providing affordable commercial auto insurance to small businesses in California.

Best for: Small businesses with limited budgets looking for affordable and easy-to-use commercial auto insurance

Average cost: $21 per month 

Our rating: 10/10


Hiscox

Pros

  • Hiscox offers customizable commercial auto insurance policies with a range of coverage options, including liability, collision, and comprehensive coverage

  • They offer coverage for vehicles used for business purposes, including cars, trucks, and vans

  • Hiscox provides exceptional customer service and support, with a team of experts available to assist customers with claims and other issues

  • Their policies are affordable and competitively priced, making them a great choice for small businesses and independent contractors

Cons

  • Hiscox may not be the best option for businesses with a large fleet of vehicles, as they primarily cater to small businesses

  • Their policies may not offer as much flexibility or customization options as some other insurance providers

Hiscox  is a well-respected insurance provider that offers commercial auto insurance in California. They specialize in providing coverage to small businesses and independent contractors.

Best for: Small businesses and independent contractors looking for customizable coverage options and excellent customer service

Average cost: $23 per month 

Our rating: 10/10


Thimble

Pros

  • Thimble’s platform is user-friendly and easy-to-use, allowing businesses to easily compare and purchase commercial auto insurance policies online

  • They offer flexible policies that can be purchased by the hour, day, week, or month, which can be a great option for businesses with intermittent vehicle usage

  • Thimble provides personalized service and excellent customer support, with a team of insurance experts available to answer any questions or concerns

  • Their policies are affordable and competitively priced, making them a great choice for small businesses with limited budgets

Cons

  • Thimble’s policies may not be the best option for businesses with a larger fleet of vehicles, as they primarily cater to small businesses and independent contractors

  • Their policies may not offer as much coverage options as some other insurance providers

Thimble is a digital insurance platform that offers commercial auto insurance in California. They specialize in providing coverage to small businesses and independent contractors.

Best for: Small businesses and independent contractors with intermittent vehicle usage needs

Average cost: $25 per month 

Our rating: 10/10


Tivly

Pros

  • Their policies are customizable, so businesses can choose the coverage options that best fit their needs

  • They offer a variety of discounts, including discounts for businesses with multiple vehicles, good driving records, and for businesses that have installed safety features in their vehicles

  • Tivly’s claims process is fast and efficient, with many customers reporting positive experiences

Cons

  • Tivly is a relatively new company and may not have the same level of brand recognition or reputation as some of the larger insurance providers

Tivly is a company that specializes in providing commercial auto insurance to small businesses. Their platform is designed to offer a simple and fast application process, with policies that can be tailored to the unique needs of each business. Tivly’s coverage options include liability, collision, comprehensive, and uninsured/underinsured motorist coverage, as well as coverage for rented and leased vehicles. Call a representative now to compare quotes over the phone. 

Best for: Small businesses that need a simple and customizable commercial auto insurance policy at an affordable price

Average cost: $28 per month 

Our rating: 10/10


State Farm 

Pros

  • State Farm has a large network of agents and customer service representatives, making it easy to get in touch with someone if you have questions or need assistance

  • They offer a variety of coverage options and discounts that can help you save money on your policy

  • Has a good reputation for customer satisfaction and claims handling

Cons

  • State Farm may not be the cheapest option for commercial auto insurance, especially if you have a large fleet of vehicles or if your drivers have poor driving records

  • Some customers have reported difficulty getting claims resolved in a timely manner

It is one of the best commercial auto insurance California enjoys. In California, businesses can choose from various commercial auto insurance plans from State Farm. The organization has a solid reputation for providing excellent customer service, and its customizable policies match the particular requirements of any business.

Best for: Small businesses that value personalized service

Average cost: $100 per month 

Our rating: 10/10


National

Pros

  • They  offer competitive rates and flexible coverage options, particularly for businesses with unique or specialized insurance needs

  • National General Insurance has a good reputation for customer service and claims handling, with many customers reporting positive experiences

  • They also offer a range of other insurance products, including general liability insurance and workers’ compensation insurance, which can be convenient for businesses that want to work with a single insurer for multiple types of coverage

Cons

  • Some customers have reported difficulty with claims processing and resolving disputes with the company

  • National General Insurance may not be the best option for businesses with poor driving records or a history of accidents, as rates may be higher

Another well-known insurer that provides commercial auto insurance in California is Nationwide. The organization has a wide network of agents spread out over the state, and its insurance includes liability, collision, and comprehensive damage.

Best for: Businesses with unique or specialized insurance needs that require customized coverage options

Average cost: $110 per month 

Our rating: 10/10


Progressive

Pros

  • Progressive has a large network of agents and offers a user-friendly website that makes it easy to get a quote and manage your policy online

  • They offer a variety of coverage options, including liability, collision, comprehensive, and uninsured/underinsured motorist coverage

  • Progressive has a reputation for offering competitive rates, particularly for businesses with multiple vehicles or drivers with good driving records

  • Have a good reputation for customer service and claims handling, with many customers reporting positive experiences

Cons

  • Some customers have reported difficulty with claims processing and resolving disputes with the company

  • Progressive may not be the best option for businesses with poor driving records or a history of accidents, as rates may be higher

Because of its affordable prices and adaptable coverage options, Progressive is a popular alternative for CA commercial auto insurance. commercial auto insurance in California. Also, the organization provides many discounts, including multi-policy and safe driver discounts, that can help businesses lower their insurance prices.

Best for: Small to mid-sized businesses

Average cost: $125 per month 

Our rating: 10/10


Farmers Insurance 

Pros

  • Farmers Insurance has a large network of agents and offers a variety of coverage options, including liability, collision, comprehensive, and uninsured/underinsured motorist coverage

  • They offer discounts for businesses with multiple vehicles, as well as for businesses with safety features installed in their vehicles

  • Farmers Insurance has a good reputation for customer service and claims handling, with many customers reporting positive experiences

Cons

  • Some customers have reported higher-than-expected premiums, particularly for businesses with poor driving records or a history of accidents

  • Farmers Insurance may not be the best option for businesses with unique or specialized insurance needs, as their coverage options may be more limited compared to other insurers

Based in California, Farmers is an insurance provider that provides commercial auto insurance to organizations of all sizes. Liability, collision, and comprehensive damage are all covered under its plans, and the company also provides a variety of supplemental coverage choices to cater to the unique requirements of each organization.

Best for: Small to mid-sized businesses

Average cost: $130 per month 

Our rating: 10/10


Travelers

Pros

  • Travelers has a long history of providing insurance coverage and has a reputation for offering flexible and customizable commercial auto insurance policies

  • They offer a variety of coverage options, including liability, collision, comprehensive, and uninsured/underinsured motorist coverage, as well as coverage for rented and leased vehicles

  • Travelers offer discounts for businesses with multiple vehicles and for businesses with safety features installed in their vehicles

  • They have a good reputation for customer service and claims handling, with many customers reporting positive experiences

Cons

  • Some customers have reported difficulty with claims processing and resolving disputes with the company

  • Travelers may not be the best option for businesses with poor driving records or a history of accidents, as rates may be higher

Commercial car insurance California is available through Travelers. The organization has a solid reputation for providing excellent customer service and resolving insurance claims, and its plans cover liability, collision, and comprehensive damage.

Best for: Businesses that need customizable coverage options

Average cost: $150 per month 

Our rating: 10/10

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