Should You Have All Your Commercial Vehicles On One Insurance Policy??

If you have a business with different kinds of vehicles, you have the choice to put everything on one policy or use separate commercial auto insurance companies for different types of vehicles. Here are some of the things you should think about. 

Bulk Discounts 

Many insurance companies offer discounts for adding additional vehicles or having multiple types of insurance with them. If you have additional business to win, they would rather give you an incentive to win it, rather than see than see you go to a competitor. This arrangement also helps the insurance  company with its costs. One business with 100 cars is cheaper to handle than 100 businesses with one car each. The insurance company needs to bill each customer, provide customer service, and go through the process of creating and renewing each policy. The insurance company will pass some of those savings on to you in order to beat their competition on price. 

Types Of Vehicles 

Depending on what types of vehicles you have, you may not be able to use a single insurance company. Some may only insure standard car types that people might drive as a personal car. Others might only insure heavy trucks or other specialized vehicles. Even if you can find an insurance company that will insure each type of car you have, they may not be cheaper than getting two specialized policies. 

Multiple Locations 

If you have locations in multiple states or even multiple cities, it may make sense to split up your commercial auto insurance policies. Some companies may not serve all states, and that might include your cheapest options. Further, rates can vary based on location, and some insurance companies might charge more for some locations than others. This comes down to factors like local theft rates and driving conditions. Each insurance company uses their own calculations when setting prices. 

Convenience 

You should also think about how easy it is for you to manage your insurance needs. If you split up your policies, that's additional time you have to spend getting quotes and paying bills. If an event affects all of your vehicles, such as a hailstorm, you'll need to spend more time filing claims. You'll need to compare what your time is worth against any savings from using multiple commercial auto insurance companies.