Company Car, Auto Insurance

[Milkman1265]

how would you write this, the car is for company use since they need it for work.

They drive to sites and do inspections.

Can you get commercial insurance and register for regular plates, since there are restrictions on where you can park for commercial plates.

They will buy with company money and register in company name, can they get regular plates?

Also would you write this as BOP + CAR endorsement, or Commercial Insurance standalone.

 

[nyc2phi]

If the car is registed under a business name then it needs to be commercial insurance policy and visa versa.

 

[djs]

You need to add a state reference to these types of questions.

In most areas, cars, even if owned by companies, don't get commercial plates. Trucks get those. Someone will have a state though where a commercial car (not taxi or limo) has to have special plates.....

Make sure his personal policy endorses for personal use of a company car, unless the commercial policy will cover it.

Dan

 

[blue_wynd]

how would you write this, the car is for company use since they need it for work.

They drive to sites and do inspections.

Can you get commercial insurance and register for regular plates, since there are restrictions on where you can park for commercial plates.

They will buy with company money and register in company name, can they get regular plates?

Also would you write this as BOP + CAR endorsement, or Commercial Insurance standalone.

If they are using it for business use, obviously the insurance need to reflect that. As for the plates, that is a question you should ask your state DOT what makes a car or truck need commercial plate. Is it the weight, the use, etc?

 

[Milkman1265]

I called the dmv, and they will be allowed to have regular plates.

Some carriers allow me to write a personal auto with 20% business use i think

But its going to be 95% business use only other than to drive the car home to park.

So i guess i will have to write a commercial policy.

 

[blue_wynd]

I called the dmv, and they will be allowed to have regular plates.

Some carriers allow me to write a personal auto with 20% business use i think

But its going to be 95% business use only other than to drive the car home to park.

So i guess i will have to write a commercial policy.

So how does the DMV figure the commercial vs. personal plates?

 

[djs]

Commercial plates are usually on trucks, I've never seen them on cars. This allows the trucks to pay much higher license plate/registration fees

If the car is owned by a company, then it needs a commercial policy, not a personal lines policy. If its owned by an individual, then it can have a personal policy endorsed for business use.

For instance, a realtor should have their car endorsed for business use. This is a good example of what business use is for. Salesmen who use their own car are good for business use on a personal policy. A pizza delivery person, newspaper deliver, messenger service, all a bad idea on a personal policy (tends to be excluded type of use).

Commercial policy vs Personal policy.
Frequently they are very similar in costs when you compare the same coverages and the same drivers. There is rarely a reason to avoid a commercial policy when its the right thing to do.

Dan