It’s not uncommon for a business owner to have a vehicle registered in the name of the company for various reasons. In some cases, the vehicle may still qualify to be included in their Personal Auto Insurance policy, but it depends on a number of factors:

• What type of vehicle is it? Regular cars (coupes, sedans, small SUV’s, regular pickup trucks) are more likely to be acceptable for Personal Auto Insurance policies while larger pickup trucks and heavy duty trucks are a bit more restricted, depending on how the vehicle is used.
• How is the vehicle used? No matter what type of vehicle it is, if the vehicle is being used to haul work “stuff” like trailers, work tools, deliveries of products, etc., there is an increased chance a Commercial Auto Insurance policy may be the better fit. This isn’t always the case, but it’s more likely.
  • On this topic, those using their vehicle to handle residential deliveries such as food delivery, grocery or other “final destination” delivery such as Instacart, DoorDash, UberEats, etc. often need an endorsement on their Personal Auto Insurance policy or may need to have a Commercial Auto Insurance policy. If you are accepting these delivery opportunities as a driver for these services, you need to discuss with your insurance agent, as you may not have any coverage if you have an accident while handling a delivery without the proper coverage!
• Do any employees use the vehicle? If you are having any employees (not family members already on your Personal Auto Insurance policy) drive your vehicle for work purposes, you need to have a Commercial Auto Insurance policy.

It’s super important to make sure you have an open and honest discussion with your agent to ensure you have the vehicle written properly (whether it needs to be on a Commercial Auto policy or whether it still qualifies on a Personal Auto policy), otherwise you could be facing a real mess when a claim occurs! We’re happy to discuss your specific situation to see which option fits you best.