Vehicle owners in Tinton Falls, NJ, know the importance of maintaining proper auto insurance. Driving without insurance can result in fines, a suspended license, or even the loss of your vehicle. It is just as important to ensure that you have the right coverage if you use your vehicle for business purposes.
Standard Coverage
Standard auto insurance policies do not cover commercial vehicle use. These policies apply to personal vehicles used for everyday driving. Once a vehicle is used for business purposes, it is considered a commercial vehicle. Even if you are driving a sedan, you must have a commercial auto insurance policy if the vehicle is used for work.
Commercial vs. Standard Coverage
Commercial auto policies in New Jersey have higher liability limits to meet state requirements. For example:
- Vehicles weighing between 10,000 and 26,000 pounds must carry at least \$300,000 in liability coverage.
- Vehicles weighing more than 26,001 pounds must carry at least \$1.5 million in liability coverage.
Commercial policies may also include protection for the driver, commercial equipment, and cargo. Many trucking policies offer provisions that ensure transported goods are covered. An agent at York Jersey Underwriters Inc. can walk you through the available commercial policy options.
Which One Do You Need?
Many people who use their personal vehicles for delivery services, such as DoorDash, mistakenly believe they do not need additional coverage. Another common myth is that your insurance needs depend on what you use the vehicle for most often. Neither is correct.
In general, you need a commercial policy if your vehicle is used to generate income or transport commercial equipment. This includes transporting items for your business or carrying packages to the post office. An agent at York Jersey Underwriters Inc. can help you determine which policy you need.
Contact us today. We proudly serve drivers in Tinton Falls, NJ, and the surrounding areas.
