Many business owners, especially those who work from their homes, wonder why it is necessary to get Business Insurance in Canton, MI. These business owners have personal policies on their home and cars. Unfortunately, it can be a serious mistake to rely on personal insurance policies for claims that are related to the business. Personal insurance policies are not designed to cover business losses. If the insurance adjuster figures out that a claim is business related, it will be justifiably denied. That is why it is important to get a business policy for anything that is related to the business including commercial Auto Insurance policies.
When getting quotes for Business Insurance in Canton, MI, business owners may get numbers that are higher than they’re expecting. Commercial policies can cost a lot more money than personal policies. In many instances, there is a higher risk to the insurance company. For example, commercial auto policies are often a lot higher since mileage is higher. Workers may not be driving with the same care that they do in their personal automobiles. Depending on the nature of the business, drivers may be entering areas that are more dangerous such as construction sites. That is why premiums are higher when purchasing commercial policies. However, business owners will have peace of mind knowing that their automobile claims will be paid even if the vehicle was being used for business purposes.
Although the main reason to get commercial auto insurance policies is to make sure claims are paid when vehicles are driven while on business, the auto insurance also protects businesses from liability lawsuits. Businesses often have a lot of assets such as equipment, accounts receivables, real estate, cash in bank accounts, and more. If an employee or the business owner is found to be responsible for an accident resulting in serious injuries, there will be auto accident lawyers looking to grab some of the business’ assets if they find out that the vehicle was being driven while conducting business. Serious injuries can lead to judgments and settlements that are worth several hundred thousand dollars. That is why it is critical for business owners to protect themselves with auto liability coverage on Business Insurance in Canton, MI.
