commercial

What You Need To Know About Commercial Vehicle Insurance

If you are a business owner and your operations include driving vans to deliver products, getting a commercial vehicle insurance is a must. Business vehicles are known to be “targets” for people looking to make easy cash. In the US commercial vehicles are more likely to get involved in accidents because people assume that businesses have more insurance.

On the other hand, the biggest mistake you can make is to assume that your personal insurance will also cover your business vehicle. Remember, most policies have fine prints where they exclude all coverages when it comes to business use. What you have to do is to get another commercial vehicle insurance policy for all of your business transactions. If it’s your first time to get a commercial business insurance, here are some things that you need to know.

Make sure that your insurance covers your driver and passengers. For example, a real estate agent poses a high risk because they don’t have enough insurance to cover the clients that they drive from house to house.

Check your employee’s driving record. You have to consider everyone that might use your vehicle and make sure that they have an excellent track record. The DMV usually releases the driving records of your employees after paying a small fee.

Your cargo needs to comply to regulations. If your business is all about delivering products to different locations, you have to check the regulations that governs such products. Furthermore, your insurance policy should also be written in such a way that it covers all liabilities when it comes to your cargo.

Check your vehicle’s route. This is important especially if your vehicles are known to pass through certain areas that pose risks. For example, if your vehicles are known to pass through areas where crime rates are high, you have to update your policy’s theft coverage.

Tax Tips

When it comes to taxes for commercial vehicles, you need to take a closer look at Section 179 of the federal tax code. For several years, section 179 let businessmen declare an asset up to $250,000 on the same year that it was purchased. This is better than writing down the cost of your asset over several years where it can depreciate.

However, this tax code changes from time to time and can go as low as $25,000 depending on the year. What you have to do is check it first before meeting up with your insurance agent to settle for a policy.

More than these tips, it’s essential that you find an insurance company that will take care of you. At Velox Insurance, we work hard in making sure that our clients are well-protected with policies that they can afford. To learn more about how we can help you, please contact our agency at (855) 468-3569 or Click Here to request a free quote.