According to Statista, there were over 5.2 million licensed drivers in Tennessee. If you use vehicles in your Tennessee business, that is a lot of potential for liability. This article will examine the basics of Tennessee commercial auto insurance. Commercial auto insurance is one way businesses protect themselves from liability, bodily injury, and property damage.
Commercial auto insurance is how businesses protect themselves from the costs of using a vehicle. If your business transports materials, clients or uses your vehicle in other ways, you will want this coverage. Commercial auto insurance Tennessee has requirements for liability and other protections that your policy must follow. You cannot just get a policy with any coverage that you want.
Tenesse records its auto crash data through the Tennesse Department of Safety & Homeland Security. See the chart below for auto accident statistics during 2020.
| Total vehicle accidents | 175,065 |
|---|---|
| Motor vehicle crashes from distracted driving | 23,815 |
| Motor vehicle accidents involving deer | 6,549 |
| Deer vehicle accidents that disabled vehicles | 2,120 |
| Total costs of road accidents | Over $90 million |
| Non-motorists injured or killed | 500 |
| Percent of fatal crashes involving alcohol and drugs | 10% |
There were 11,484 auto accidents in Knox County in 2020. This is the county where Knoxville, Tennessee, resides. Your commercial auto insurance Knoxville tn can protect you from the liabilities and repair costs your vehicles may cause.
Shelby County, where Memphis resides, had 35,018 auto accidents in 2020. Commercial auto insurance Memphis tn will provide coverage to protect business vehicles when they get into an unfortunate road accident.
Commercial auto insurance companies in Tennessee will offer different coverages in your policy. Below are the components of commercial auto that insurers provide.
Your auto collision coverage will help pay for damage to your vehicle from road collisions. This coverage will apply regardless of who is at fault in the accident. Typical events covered include:
Colliding with another vehicle
Objects falling on your car
Hitting potholes
Colliding with an object, light street lamp, or mailbox
Like collision coverage, this policy protects against physical damage to your vehicle. However, comprehensive coverage protects against harm from sources other than collisions. Covered events include:
Fire
Theft
Vandalism
Hitting animals
Weather events
This policy pays costs that you are found liable for to the affected party. Your policy will include bodily injury and property damage that your business vehicles inflict on others. It will also cover legal expenses if someone sues you.
Medical payment coverage helps pay for your drivers' and passengers' medical and funeral expenses. This policy will pay out regardless of the party at fault for the accident. A medical payment policy helps get reimbursed for medical expenses quickly. Often vehicle accident injuries can be expensive and require immediate attention. You sometimes don’t have the benefit of waiting for the best price or getting another driver's payout.
An Auto Glass policy covers damage to your vehicle’s windshield. This coverage makes repairing and replacing your windshield more manageable than other vehicle damage coverage.
While many commercial auto policies will cover some form of towing, expanding towing lets coverage for more events. This policy can help you get coverage for jump starts, towing to more places, and roadside service repairs.
This policy will help you pay for medical costs or property damage that someone else is liable for. Suppose the other party's insurance can not cover the damage they inflict. In that case, this policy can help you make up the difference. This coverage will also help protect situations where the other party cannot be found, like hit-and-runs. It can also protect named drivers when they are hit as a pedestrian.
Gap insurance covers your financed vehicles when you still owe money on an auto loan. When your vehicle becomes totaled, you will get a payout based on its actual cash value. This amount might be lower than the remainder of your loan amount on the car. Thanks to this policy, you won’t have to worry about paying for a vehicle you can’t use.
Commercial auto insurance policies are focused on providing liability coverage for business-owned vehicles. HNOA insurance will cover personal vehicles for employees and other vehicles used that your business doesn’t own. Coverage will include personal, leased, or rented cars used for business operations. However, this policy will not cover damages to these vehicles.
Helps you pay for a rental car so you can still do business after your vehicle gets into an accident. You will get coverage up to the limits of your policy.
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Tennessee commercial auto insurance must satisfy specific requirements set by state laws. These insurance requirements are outlined below.
Tennessee vehicles must have certain liability coverage limits for bodily injury and property damage.
| Bodily injury per accident | Total injuries per accident | Property damage per accident |
|---|---|---|
| $25,000 | $50,000 | $25,000 |
Insurance companies in Tennessee are required to offer customers Unisired motorist coverage in their auto policies. However, customers can reject this coverage in writing if they choose.
A deductible is the amount you must pay out of pocket before your insurance will kick in. The amount you pay for a deductible is variable. Insurers offer high and low deductible options for their customers. A lower deductible will mean you pay more for your policy. One way to save money on your premium is to choose a higher deductible. Commercial auto insurance will typically have deductibles for certain types of coverage that include:
Collision
Comprehensive
Uninsured motorist
Your commercial auto insurance policy will not cover every event your vehicles encounter. Some standard exclusions of commercial auto insurance are explained below.
If you or an employee use a vehicle in a way that is intended to cause damage, this will be excluded. Expected injuries include high-risk actions that are likely to lead to vehicle damage. You will only be covered for reasonable activities for your business.
If you transport hazardous chemicals and materials with your business vehicles, you may not get coverage with commercial auto. The costs of cleaning up pollution spills and transporting hazardous materials must be supplemented by pollution insurance.
If your vehicle is injured through a significant event like war, insurrection, or rebellion by the public, this will fall outside coverage.
If your business partakes in professional or organized racing activities, you will not be covered by commercial auto insurance. The inherent risks of vehicle sporting events mean damage are more likely to occur.
No. Tennesse is an at-fault state. This means that the responsibility for the damages of auto accidents falls on the party found to be at fault. No-fault states will require that personal injury protection is required for insurance policies. Tennessee does not require personal injury protection.
Personal injury protection is also called no-fault insurance. Personal injury protection can be beneficial because it promptly makes payments. You will not have to wait for the liability claim from the other insurance company to make the payments.
No. If you move to another state, you must buy an insurance policy in that state. One reason for this is that states have different insurance requirements. Your insurer can deny claims on your policy if they find out you have moved to another state.
No. Tennesse law requires that all vehicle operators can provide proof of financial responsibility for any damage they might cause. If you drive in Tenessee without insurance, you may face penalties. You can have your license suspended, your registration taken and pay a fine.
The cost of your Tennessee commercial auto insurance policy may start as low as $45 per month or $540 per year. How much you pay for insurance depends on how many vehicles you need insured and other factors. Here’s a table showing the rates of the best companies:
| Cost per Month | Cost per Year | Best for | |
|---|---|---|---|
| NEXT | $47 | $564 | Best overall; Fastest commercial auto insurance |
| CoverWallet | $49 | $588 | Comparing rates for commercial auto insurance online |
| The Hartford | $55 | $660 | Small business commercial auto insurance |
| Tivly | $57 | $684 | Comparing rates for commercial auto insurance online |
| Thimble | $62 | $744 | Simple insurance policies |
| Hiscox | $66 | $792 | Customer support for insurance policies |
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We have you covered with these reviews of the best Tennesse commercial auto insurance companies. Read on to know their pros, cons, and average rate.
Get a quote in 10 minutes
Handles the insurance claims of its policies
Transparent pricing structure
Couldn't find any
NEXT offers an entirely online process for buying commercial auto insurance. They provide excellent policy options like rental reimbursement, towing & labor, property damage, and more. You get quotes online quickly. NEXT has an excellent score with AM Best for financial security. They also have a B+ rating with the Better Business
Best for: Best overall; Fastest commercial auto insurance
Average cost: $47 per month
Our rating: 10/10
200 years of industry experience
Offers a mobile app to track policies
Customize your commercial auto policy
The buying process isn’t as easy as other insurers.
The Hartford is an excellent choice for your Tennessee commercial auto insurance policy. They have a car insurance calculator to help you figure out your premium. You will find an abundance of different coverages like auto glass, gap insurance, and towing insurance.
Best for: Small business commercial auto insurance
Average cost: $55 per month
Our rating: 10/10
Different partners that offer commercial auto
Manage your policies from one place
Allows you to skip filling out a form and get help from a representative
Some reviews talk about delays in processing claims.
CoverWallet is a digital space to buy insurance. You can compare quotes from top carriers like Hiscox, Progressive, and Markel. While on their platform, you have access to over ten providers that you can compare costs with. CoverWallet has an A+ rating from the Better Business Bureau.
Best for: Comparing rates for commercial auto insurance online
Average cost: $49 per month
Our rating: 10/10
Coverage for cars, cargo vans, and food trucks
Offers gap insurance
Easy to compare quotes with insurers
Some companies need a separate policy for dump trucks and semi-trucks
Tivly offers excellent options for commercial auto insurance with the convenience of an online platform. This company helps you narrow the field to find one that suits your business needs. Tivly have over 200 insurance partners to select from. Call now to compare quotes over the phone.
Best for: Comparing commercial auto insurance quotes over the phone
Average cost: $57 per month
Our rating: 10/10
Fast growing insurer
Get quotes quickly
Excellent app to track your policies and claims
Simpler policies than other insurers
Thimble offers simple insurance policies that are easy to understand. Their ease of use makes them an attractive option for someone who needs to get policy coverage quickly. This company boasts that 75% of its customers are first-time buyers. The Better Business Bureau gave Thimble an A+ rating.
Best for: Simple insurance policies
Average cost: $62 per month
Our rating: 10/10
A rating from AM Best
Report claims by phone, mail, or online
Recommended by 4.710/10 people surveyed
Does not allow payment through Paypal
Hiscox offers insurance that is focused on the needs of its customers. The company was founded in 1901 and has a long history of underwriting expertise. At Hiscox, you can get fully customized policies crafted with the help of their knowledgeable agents. Hiscox has an A rating from AM Best.
Best for: Customer support for insurance policies
Average cost: $66 per month
Our rating: 10/10
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
Not all those who wander are lost.
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