Commercial auto insurance in Rhode Island is crucial for businesses that rely on vehicles for their operations. This section provides an overview of the importance of commercial auto insurance and its benefits for businesses in Rhode Island.
Commercial auto insurance is a type of insurance policy that provides coverage for vehicles used in a business or commercial context. This type of insurance can cover a range of vehicles, including cars, trucks, vans, and other vehicles used for business purposes. Commercial auto insurance policies typically provide liability, collision, and comprehensive coverage for these vehicles, protecting business owners against financial losses in accidents, theft, or other types of damage. Additionally, commercial auto insurance policies may provide coverage for employees who operate company-owned vehicles and non-owned or hired vehicles used in the business.
Here are some statistics from previous years to give you a general idea:
In 2019, Rhode Island reported 58 fatalities due to motor vehicle accidents, according to the National Highway Traffic Safety Administration (NHTSA)
The crash rate in Rhode Island was 82.2 crashes per 100 million vehicle miles traveled in 2019
In 2019, alcohol-impaired driving accounted for 23% of all traffic fatalities in Rhode Island
The seat belt usage rate in Rhode Island was 86.8% in 2019, slightly below the national average
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All commercial auto insurance RI plans must comply with Rhode Island state law, which mandates a minimum liability limit of $25,000 per person, $50,000 per accident for bodily injury, and $25,000 for property damage (i.e., 25/50/25). Depending on the kinds of automobiles a policy covers, larger limits may be required.
Even though these are the bare minimums required by Rhode Island law, you should consider getting more vehicle protection through higher limits or supplementary coverage. Your company assets could be in danger if a loss exceeds your coverage limits and necessitates out-of-pocket payments.
Like most states, Rhode Island has specific commercial auto insurance requirements. Commercial auto insurance typically covers vehicles used for business purposes, such as delivery trucks, company cars, or commercial fleets. The specific components of commercial auto insurance in Rhode Island may include the following:
Liability coverage–This is a fundamental component of Rhode Island commercial vehicle insuranceand helps cover bodily injury or property damage expenses for which your business is legally responsible in an accident. It typically includes bodily injury liability (covering medical expenses, lost wages, and legal fees) and property damage liability (covering repairs or replacement costs)
Personal injury protection–Rhode Island is a no-fault state, so PIP coverage is required. It helps cover medical expenses, lost wages, and other related costs for injuries sustained by the driver and passengers in your commercial vehicle, regardless of who is at fault in an accident
Uninsured/Underinsured motorist coverage–This coverage protects you and your business in an accident involving an uninsured or underinsured driver who is at fault. It helps cover medical expenses, lost wages, and other damages from such an accident
Collision coverage–This component covers damage to your commercial vehicle resulting from a collision with another vehicle or object, regardless of fault. It helps pay for repairs or replacement costs up to the policy limit
Comprehensive coverage–Protects your commercial vehicle against non-collision incidents such as theft, vandalism, fire, or weather-related damage. It helps cover repair or replacement costs up to the policy limit
Medical payments coverage–This optional coverage pays for medical expenses resulting from an accident involving your commercial vehicle, regardless of who is at fault. It can help cover hospital bills, surgery, and ambulance fees
In addition to the standard coverage components offered by commercial auto insurance policies in Rhode Island, there are several add-ons or endorsements that you may choose to include in your policy to provide additional protection for your business. The following are some of the common add-ons to commercial auto insurance in Rhode Island:
Rental reimbursement–This coverage helps reimburse the cost of renting a replacement vehicle while your commercial vehicle is undergoing repairs due to a covered claim
Towing and roadside assistance–This add-on provides towing services or roadside assistance coverage if your commercial vehicle becomes disabled or needs assistance while on the road
Non-owned auto coverage–If your employees occasionally use their personal vehicles for business purposes, non-owned auto coverage can provide liability protection for the business in case of an accident
Umbrella insurance–Umbrella insurance provides additional liability coverage beyond the limits of your primary commercial auto policy. It offers an extra layer of protection and can benefit businesses with higher liability risks
Hired auto physical damage coverage–This endorsement covers physical damage to vehicles you lease, hire, or borrow for business purposes
When selecting commercial auto insurance for your business in Rhode Island, you must consider several factors to make an informed decision. Here are some key factors to keep in mind:
Coverage options–Evaluate the coverage options offered by different insurance providers. Look for policies that align with your business needs, considering liability coverage limits, comprehensive and collision coverage, uninsured/underinsured motorist protection, and any specialized coverage relevant to your industry.
Financial stability and reputation–Research the financial stability and reputation of the insurance companies you are considering. Look for insurers with strong financial ratings from reputable agencies to ensure they can fulfill their obligations in the event of a claim. Read customer reviews and seek recommendations from other business owners to gauge the insurer's reputation for customer service.
Claims process and customer service–Assess the insurer's claims process and customer service standards. A smooth and efficient claims process can significantly impact your experience in the event of an accident. Look for insurers with a reputation for responsive and helpful customer service, quick claims handling, and a user-friendly online platform for managing policies and claims.
Premium rates and discounts–Compare premium rates from different insurance providers, but also consider the value and coverage provided for the price. Ask about available discounts, such as multi-vehicle discounts, safe driving records, or bundling policies with the same insurer.
Deductibles and policy limit–Review different insurance policies' deductibles and policy limits. A higher deductible may lower your premium but will require you to pay more out of pocket in case of a claim. Ensure that the policy limits adequately protect your business assets and potential liabilities.
Additional services and benefits–Inquire about any additional services or benefits offered by the insurance provider. Some insurers may provide risk management resources, driver training programs, or tools to help you manage your commercial vehicles more effectively.
A commercial car insurance policy in Rhode Island costs $35 per month or $420 per year for a $1 million auto liability coverage. Here are some key factors that can influence the cost of commercial auto insurance in Rhode Island:
Business size and industry–The size of your business and your industry can impact the cost. For example, a large fleet of vehicles or operating in a high-risk industry may result in higher premiums
Vehicle type and usage–The type of vehicles you use for your business and their intended use can affect the insurance cost. Factors such as vehicle value, weight, age, and purpose (e.g., delivery trucks, taxis, construction vehicles) can impact premiums
Driving history–Your employees' driving records, including any accidents or traffic violations, can influence insurance costs. A history of accidents or violations may increase premiums
Coverage limits and deductibles–The coverage limits and deductibles you choose for your commercial auto insurance policy will impact the cost. Higher coverage limits and lower deductibles typically result in higher premiums
Location–Where your vehicles are primarily operated can affect the cost. Factors such as traffic density, crime rates, and the prevalence of accidents in the area can impact premiums
Claims history–Your business's claims history, including the frequency and severity of past claims, can influence insurance costs. More claims or higher claim amounts may lead to higher premiums
Driver training and safety programs–Implementing driver training programs and safety measures within your business can lower insurance costs. Insurance companies may offer discounts for businesses with proactive safety measures in place
Credit history–In some states, including Rhode Island, credit history can be a factor in determining insurance premiums. A good credit score may lead to lower premiums, while a poor credit history can result in higher costs
In connection, here’s a table showing the cost of a $1 million auto liability coverage from the best companies:
|Insurance company||Cost per Month||Cost per Year||Best for|
|NEXT||$17||$204||Best overall; Fastest commercial auto insurance|
|CoverWallet||$20||$240||Small and mid-sized businesses|
|The Hartford||$22||$264||Well-established businesses|
|Tivly||$25||$300||Comparing commercial auto insurance quotes over the phone|
|Thimble||$27||$324||Businesses needing short-term coverage|
|Hiscox||$29||$348||Small businesses and entrepreneurs|
Here are three tips for reducing Rhode Island commercial auto insurance costs:
Safe driving incentives–Encourage and reward safe driving practices among your employees. Implement driver training programs and offer incentives for maintaining a clean driving record. Many insurance providers offer discounts for businesses with a history of safe driving, as it reduces the risk of accidents and claims.
Vehicle security measures–Install security devices on your commercial vehicles, such as alarms, GPS tracking systems, or immobilizers. These measures can deter theft and improve vehicle recovery in case of theft, potentially leading to lower insurance premiums.
Review coverage annually–Regularly assess your coverage needs and make adjustments as necessary. As your business evolves, certain coverage options are no longer required or that higher or lower coverage limits are more appropriate. Reviewing your coverage annually ensures you're not paying for unnecessary coverage and optimizes your insurance costs.
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Consider working with these companies. Read some of the reviews below to know their pros, cons, and average rate for a $1 million auto liability coverage.
Issues an online proof of insurance instantly
Fastest commercial auto insurance
Great customer service and reputation
Outstanding value for money
Get a 10% discount if you buy two or more policies
Couldn’t find any
NEXT is a technology-driven insurance provider that offers coverage for various industries. They specialize in providing customizable insurance solutions to small businesses, allowing them to tailor their coverage options based on their needs. Researching their specific offerings and comparing them with your business requirements is advisable.
Best for: Best overall; Fastest commercial auto insurance
Average cost: $17 per month
Our rating: 10/10
CoverWallet partners with multiple insurance companies, giving businesses access to a range of coverage options
Their online platform makes it easy for businesses to compare quotes and select the coverage that best fits their needs
CoverWallet provides dedicated customer support to assist businesses throughout the insurance process
Not an insurance company but an insurance broker
CoverWallet is an online insurance broker that provides commercial auto insurance options from various insurance providers. They offer a user-friendly platform for businesses to compare quotes and select the most suitable coverage. CoverWallet serves small and mid-sized businesses and offers personalized customer support throughout the insurance process.
Best for: Small and mid-sized businesses
Average cost: $20 per month
Our rating: 10/10
Hartford offers a wide range of coverage options to address the specific needs of businesses
Dedicated claims service: They are known for their responsive claims service, ensuring a smooth process for policyholders
Competitive rates: The Hartford strives to provide competitive rates for their commercial auto insurance policies
Specific policy details may vary
The Hartford is a well-established insurance company known for its comprehensive products, including commercial auto insurance. They provide wide coverage options and are recognized for their dedicated claims service and competitive rates. The Hartford caters to businesses of all sizes and has a strong reputation in the insurance industry.
Best for: Well-established businesses
Average cost: $22 per month
Our rating: 10/10
Custom coverage for commercial business
Devotion to customer satisfaction
Provides personalized assistance to help you navigate your insurance requirements
You need to call to compare quotes over the phone
Tivly is a digital insurance platform specifically providing tailored coverage options, a seamless quote process, and a user-friendly online platform for policy management. Call now to compare quotes over the phone.
Best for: Comparing commercial auto insurance quotes over the phone
Average cost: $25 per month
Our rating: 9/10
Thimble allows businesses to obtain coverage for specific timeframes, providing flexibility and cost-effectiveness
Rapidly displays the projected cost of your premiums
Thimble specializes in short-term coverage, so businesses requiring long-term policies may need to explore other options.
Thimble is an insurance technology company that offers on-demand and short-term commercial auto insurance policies. They provide flexibility for businesses that require coverage for specific timeframes or projects. Thimble is known for its simple and convenient application process, allowing businesses to adjust coverage as needed.
Best for: Businesses needing short-term coverage
Average cost: $27 per month
Our rating: 9/10
Customizable policies: Hiscox allows businesses to tailor their commercial auto insurance coverage to match their unique needs
Specialized expertise: They deeply understand the risks faced by small businesses and provide industry-specific coverage
Excellent customer service: Hiscox is known for their responsive and helpful customer service
Hiscox may not offer comprehensive consulting insurance to policyholders=
Hiscox is a global insurance provider that offers commercial auto insurance coverage for small businesses and entrepreneurs. Hiscox is known for its specialized expertise, excellent customer service, and flexible coverage options.
Best for: Small businesses and entrepreneurs
Average cost: $29 per month
Our rating: 9/10
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
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.
Their general liability insurance purchase process is simply the best online experience I've ever had in my life!
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!
It really can't get any better than this... wow