New York has over 19 million people. The state also enjoys a booming economy that offers incredible business opportunities. New York's market will present you with a lucrative opportunity to build a sizable consumer base and successful business alliances, whether you wish to launch a small firm or a major enterprise.
This state does, however, also provide certain difficulties for your company. Heavy traffic and crowded streets can expose your business automobile to accidents. This is where commercial auto insurance policy becomes indispensable. This article will discuss the basics of new york commercial auto insurance and why it is fundamental for any business.
Commercial car insurance NY is a specialized insurance coverage designed for small and large businesses that use cars for business operations. It offers financial protection for you, your employees, and your vehicles in the case of any accidents or damages that involve your business vehicles.
This insurance policy is customized to address unique risks related to business vehicle usage. You will need this policy for a single car or a large fleet to mitigate unforeseen liabilities and protect your assets.
Commercial car insurance in New York works similarly to other states. Primarily, it covers any vehicle you use to run your operations. It can be a car, truck, van, or other business car. When automobile incidents occur, your policy can cover the following:
Property damage
Bodily injury
Vehicle damages
Hospital bills
Defense costs
Once your commercial vehicle is involved in an accident or damaged, you get a specific coverage limit to cover those damages. For property damage, you can be paid up to $10,000 for that accident, while for bodily injury, you get a limit of $25,000 for one person injured in that accident. These are just minimums, and you can select higher limits.
New York has an incredibly high population, and the city's roads are frequently very congested. This makes it vulnerable to traffic accidents and you must protect your commercial vehicle with valid insurance coverage.
In 2022, there were reported to be 52,341 car accidents, whereas the previous year had 88,323 accidents. Despite a reduction in the number of accidents, there was a rise in minor and catastrophic injuries. Half of the city's auto accidents caused injuries.
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All commercial vehicles in New York should have a minimum auto liability coverage. Some of the New York commercial auto insurance requirements include:
$10,000 to cover liabilities for property damage in one accident.
$50,000 for a person engaged in an accident and dies, and $25,000 for anyone who sustains bodily injury.
$50,000 for bodily harm and $100,000 for fatalities if two or more people are involved in the accident.
Commercial vehicle insurance NY has many fundamental components that offer your business comprehensive coverage. Some of the critical components include:
Liability coverage is a crucial component of commercial auto insurance NYC. It protects your business if you or your driver cause property damage or bodily injury to others while operating your automobile. This coverage reimburses you for legal, medical, and settlement fees.
PIP can also be referred to as no-fault insurance. It helps pay for hospital bills, lost income, or burial expenses after a commercial car accident, regardless of who is at fault. This car insurance may even cover you when not driving. For instance, you can get injured by another vehicle when walking; this PIP will come in handy to compensate for your injuries.
This component safeguards you, your employees, and your commercial vehicles in case of an accident with another motorist who has low or no insurance coverage. It will compensate for hospital bills or property damage that are caused by the other driver who is underinsured or uninsured.
Comprehensive coverage pays for repair or replacement costs after your commercial car is damaged or stolen. It covers perils such as vandalism, fire, theft, or falling objects but excludes collision incidents.
Collision coverage is essential and will cover your car's repair costs if it is damaged after being hit by an object or vehicle. This coverage will cover such damages if you are involved in an accident. It can also cover you if your vehicle rollovers and is damaged.
It will cover hospital bills, ambulance, medication, or rehabilitation costs for your employees and passengers. This coverage will compensate you regardless of who is at fault in a commercial vehicle accident.
Sometimes, you or your employees can use their vehicles for business operations. Non-owned auto coverage will extend your commercial auto insurance NYC to shelter even personal vehicles used in business operations.
In most instances, your commercial vehicle insurance will cushion all vehicles used for business purposes in the event of an accident. But in some circumstances, the coverage can also extend to your personal vehicles. Here are common scenarios when this is possible:
Occasional use–You or your employee can be using a personal vehicle to make deliveries or for other business operations. Your commercial auto insurance will extend coverage to such vehicles
Personal vehicles for specific job roles–Some roles, such as consultants or sales representatives, require employees to use their personal vehicles to meet clients or deliver services. Your business might require an add-on known as non-owned car liability to cover all liabilities that may arise from accidents involving employee-owned vehicles
Here are some add-ons to your commercial auto policy in New York:
In addition to the liability protection provided by your primary commercial auto insurance policy, umbrella insurance offers additional layers of protection against lawsuits. It helps defend your company against substantial liability claims beyond the scope of your underlying insurance policies' protection limits. Businesses with precious assets or high-risk operations might benefit significantly from umbrella insurance.
If you transport goods from vendors or to customers, cargo insurance will shelter those goods from perils such as theft, damage, or loss. You can customize your insurance depending on the cargo you are transporting.
Your comprehensive vehicle insurance can cover minor repair costs for cracks and chips on your windscreen. But in more severe accidents, you need this windscreen cover as an add-on, and it will cover even the worst damages. This add-on will cover the complete replacement of your windscreen.
Commercial auto insurance will not cover consumable parts such as grease, washers, screws, bolts, or bolts. With consumable coverage, you will be compensated for repairing or replacing these parts. If your vehicle is at most five years old, you are very eligible for this add-on.
This coverage helps compensate your business for renting a replacement vehicle while your business vehicle is being repaired after a covered incident. It will cover all the costs of leasing another vehicle.
Roadside assistance coverage will cover expenses such as flat tire changes, fuel delivery, and towing services. This add-on is crucial for your business and will minimize downtime if your vehicle is involved in an accident or breakdowns in the middle of a highway.
This coverage covers all damages on your commercial vehicle engine which may be caused by mechanical or electrical breakdown. It will compensate you for the costs of replacing your engine. But this cover is not allowed for vehicles that are more than five years old.
Commercial car insurance covers several risks that are associated with your commercial vehicles. However, there are some unique circumstances that your provider may not cover, such as:
Commercial auto insurance is designed to cover your vehicles when they are being used for business operations. If you use your cars to run personal errands, and an accident happens, this coverage will not compensate you.
Your commercial auto insurance also excludes all intentional acts. This policy does not cover things such as deliberate collisions. You must prove beyond doubt that the accident was not intentional.
If you use your commercial vehicle for illegal activities, such as smuggling drugs, your insurance company can decide to void the policy. In such circumstances, they will not cover any damages suffered after an accident if they find out you are dealing with illegal things.
Your policy coverage may be denied if an unauthorized driver operates your business vehicle and an accident occurs. This can also happen if you give your commercial vehicle to drivers without a valid driving license.
New York commercial auto insurance is $25 per month or $300 per year for a $1 million auto liability coverage. When considering the cost of commercial auto insurance NY, there are many factors that insurance companies consider, and they can include:
Business size and type–The business you operate can influence the premiums you pay. For instance, if you have a small business with one vehicle, you will pay a lower premium than a large business with a fleet of vehicles.
Vehicle types–An insurance company will check your commercial vehicle's value and intended usage. Heavy trucks will attract higher premiums compared to small vehicles.
Driving records–The driving record of your driver will also affect the premiums. Drivers with clean driving records will attract lower premiums, while those with a history of traffic violations will incur higher insurance costs.
Coverage limits and deductibles–The limits and deductibles you select for your commercial auto insurance will determine the premiums. For instance, lower deductibles and high coverage limits will result in higher premiums.
Claims history–If your business has a previous history of filing insurance claims related to commercial auto incidents, it will influence the insurance cost. When you have a higher claim frequency, you will also have high premiums.
Safety measures–Safety measures such as security devices, GPS tracking systems, or driving training programs will help lower insurance premiums. Consider incorporating these measures if you want to enjoy low-budget insurance rates.
In connection, here’s a table showing the cost of a $1 million auto liability coverage from the best companies:
| Cost per Month | Cost per Year | Best for | |
|---|---|---|---|
| NEXT | $12 | $144 | Best overall; Fastest commercial auto insurance |
| CoverWallet | $14 | $168 | Comparing commercial car insurance NY quotes online |
| The Hartford | $16 | $192 | AARP members looking for comprehensive commercial auto insurance coverage |
| Tivly | $18 | $216 | Comparing commercial auto insurance quotes over the phone |
| Thimble | $20 | $240 | Contractors looking for insurance coverage for a specific project |
| Hiscox | $23 | $276 | Businesses looking for comprehensive coverage from an experienced company |
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Best New York Commercial Auto Insurance Companies
Now that you understand why commercial auto insurance is crucial for your business, it is time to look for a reputable provider. Here are companies to consider. Read some of the reviews below to know their pros, cons, and average rate for a $1 million auto liability coverage.
Best overall
Issues an online proof of insurance instantly
Fastest commercial auto insurance
Great customer service and reputation
Excellent rates
Outstanding value for money
Get a 10% discount if you buy two or more policies
Couldn’t find any
NEXT is a company that has been offering commercial auto insurance online. This company allows you to adjust your standard policy and add hired and non-owned auto insurance. With NEXT, you can get insured instantly, regardless of your business. You can also obtain your certificate of insurance seamlessly.
Best for: Best overall; Fastest commercial auto insurance
Average cost: $12 per month
Our rating: 10/10
Ideal for small businesses
Apply for commercial auto insurance online
Easy to navigate virtual platform
Not an insurance company but an insurance broker
CoverWallet is an insurance broker that prides itself with connecting businesses with top insurance companies. They have an easy-to-manage dashboard where you can easily buy and manage your commercial auto insurance. You can also use a comparison tool to determine which insurance providers offer the best prices.
Best for: Comparing commercial car insurance NY quotes online
Average cost: $14 per month
Our rating: 10/10
The signup process is relatively straightforward
AARP members get benefits on their commercial auto insurance policy
Comprehensive insurance policies available
Online quoting might not be available all the time, and you’ll need to talk to an agent
The Hartford is an excellent option for businesses looking for commercial auto insurance. They have a well-organized and detailed online site that makes purchasing a policy easy. Seniors who are members of AARP have added advantages due to inclusive attractive benefits. They also have a customer support system, always ready to assist customers.
Best for: AARP members looking for comprehensive commercial auto insurance coverage
Average cost: $16 per month
Our rating: 10/10
Collaborates with many providers to offer great benefits
The process of applying for commercial auto insurance is straightforward
You can obtain insurance quotes easily
You need to call to compare quotes
Tivly studies your company's profile and matches you with an ideal insurer. They have knowledgeable representatives who will offer unparalleled advice on the best commercial auto insurance for your company. Discuss your needs with a representative if you want insurance quotes for your business. Call now to compare quotes over the phone
Best for: Comparing commercial auto insurance quotes over the phone
Average cost: $18 per month
Our rating: 9/10
Best insurance options for small businesses
Obtain your insurance quotes online
Project-based coverage for your company
Their customer service team only operates online
Thimble offers something unique to businesses that want to undertake only short-term projects. You can get affordable coverage for hours or days. Their policies are also straightforward to purchase and manage. You will also enjoy budget-friendly premiums, which is quite ideal for startups. However, this company does not directly offer commercial auto insurance and will recommend undertaking this policy from Tivly.
Best for: Contractors looking for insurance coverage for a specific project
Average cost: $20 per month
Our rating: 9/10
You can take advantage of a refund policy
An experienced company in providing all types of businesses coverage
Most of their insurance products have discounts
Coverage is limited to some states
Hiscox has helped many businesses obtain adequate coverage. They have tailored plans for startups, small or large businesses. This company aims to address the specific needs of your business. The refund policy is quite attractive, giving your business peace of mind.
Best for: Businesses looking for comprehensive coverage from an experienced company
Average cost: $23 per month
Our rating: 9/10
1 / 5
Use anyone except Employers. Period. They are non-transparent and shameful. After I complained long enough to warrant a call from a supervisor, the supervisor called back from a PRIVATE NUMBER (no caller ID), left a message that they are not reversing their decision (without any communication with me), and failed to leave a phone number for me to call back. She was hiding! They also fact find via email and phone calls, which is terrific for speed and communication. However, after setting a precedence of email or phone calls, they send time sensitive information via email, without any heads up... they are hoping you miss it and forfeit via expiration. Evil policies. Go elsewhere.
1 / 5
This place is an absolute joke of a company and should be ashamed of the way they conduct business. I was hurt on the job at the end of July and it took them just shy of 7 weeks to issue out a paycheck to me. Yes the amount was back dated but still. Not many have the luxury of not receiving a paycheck for almost 2 months. To top it all off, the original adjuster marked me down for the wrong state which caused a problem from the get go, I've had 3 different adjusters now since each one can't seem to figure out the simplicity of my claim. All my paperwork which includes, my job, house, and drs visits all are from the same state and city but yet some how I have been filed under a completely different state 1500 miles away. They do not answer your phone calls or emails no matter how many you leave. I've had to escalate my frustrations to the supervisors of each of these individuals in order to even get some kind of response. I've had more communication and information given to me about my claim from the customer service representatives then the actual adjusters.......... please tell me how that works?! A serious overhaul needs to happen here in order to serve your clients the way they deserve to be taken care of. 10/10 do not recommend this company to a single soul on earth
1 / 5
I have never had the displeasure of working with a more incompetent and disrespectful person in my life. I’m an injured worker and the adjuster that was assigned to my case was named Carrie Furgeson. In the past 6 weeks that I’ve been injured and out of work I have only been able to get ahold of her twice, not for lack of trying. I have left countless voicemails, countless emails, and she ignores them all. When I am finally able to get ahold of her I’m greeted with terrible customer service. She is rude, she talks over me and I’m hardly able to get a word in edgewise. She spelled my name wrong on my documents even after I spelled it for her properly countless times, this caused a whole new issue with my bank. I have bill collectors from the hospital calling me demanding payment and Carrie Furgeson won’t do a single thing to help, or to get them paid. All of my documentation is in Colorado, my job is in Colorado, my address is in Colorado, all my Dr offices and appointments have been in Colorado and Carrie still managed to hold my claim because she wasn’t sure what state she needed to file it under. It’s been 6 weeks since my Injury and my company still hasn’t received the wage paperwork to fill out so they can get me my correct wages. When she’s not ignoring me she’s answering my questions with “I don’t know” well I don’t know how she got this job, because apparently she doesn’t know anything about it. She is a disgusting morose individual inside and out and I genuinely wish her the worst in all of her future endeavors. I highly recommend you don’t use this company. Please if you are a business owner and your looking into this company please don’t use them. I’m sure they have the cheapest payment and that’s why companies use them in the first place, but you will be doing your employees a grave disservice by forcing them to venture into this absolute dumpster fire of a company. I would rate 0/5 if possible but 1 was the lowest I was allowed.
5 / 5
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
5 / 5
As long as they cover your line of business, you're literally covered! best rates, best coverage, best online experience, best professionals, can't be happier that I chose them!
Not all those who wander are lost.
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