Are You Using Your Car For Business Purposes? Are You Covered?

If you have car insurance, and you are using your car for business, you should make sure you are actually covered. Some insurance companies might not be covering you. You could be paying all those premiums and when it comes time to making a claim, you will find out you are not covered. Here is a deeper look at this topic.

Am I insured or not?

This is a serious question you should be asking yourself. Some insurance companies will consider commercial use only when you are using your car to transport goods. That could mean it would affect trade workers, pizza delivery drivers, to name a few. I think you get the picture. Other insurance companies will have a broader definition, for example, you were involved in activities that were primarily related to business. A real estate agent could be using their car for a short business trip, get in an accident, and not be covered. If you cannot find this information in your policy, you should contact your insurance company as soon as possible.

What about other drivers? You should also think about the impact of different drivers in your car. You might need to have the names of those drivers registered with your insurance company. If you are not the only one using your car, even if it is primarily used for your private use, and only sometimes used by you and your staff or colleagues, this still could be a very big issue for you. This could mean even when you are in an accident, you have problems of payout because you have had many drivers in your car.

Policy options. You should always shop around. Compare car insurance policies regularly. You might find you can get a better deal from a new insurer, because they are providing more tailored and specific policy arrangements for you. You don't have to think that you should stay with the same insurer each year, even if they are offering you a no-claim bonus. Check out payout ratings, and other ratings websites, to find out which insurer is delivering the best. Don't think the industry is stagnant. Prices and quality of cover are always changing.

Commercial options. Commercial car insurance might be your only option if you have several people using your car, or you want to have the option that others can drive your car, and it be covered. There may be other requirements, especially if you have tools of the trade that are in your car all the time. You want to make sure those items are catered for, and more importantly, if stolen, you want to get them replaced.