Personal Vs. Commercial Auto Insurance: A Detailed Look.

August 1, 2022

If you find yourself searching for ‘commercial insurance near me,’ chances are you recognize the importance of such coverage. However, for many, the difference between commercial and personal auto insurance is a bit fuzzy. While the differences may seem small, should you find yourself, or an employee, involved in an accident, having the right policy is critical.


Here, our experts at Brownell Insurance Center provide you with a closer look at when you need to consider commercial auto insurance, not personal coverage.


Personal Auto Insurance

One of the most common types of vehicle insurance is personal coverage. Although New Hampshire does not require drivers to maintain insurance, most other states do. And, it is always in your best interest to maintain some type of protection.


Depending on the policy, personal insurance allows coverage for accidents, theft and damage to you, your passengers, and others that may be involved in an accident that you are deemed at fault. Further add-ons are available such as rental coverage, windshield protection, and so on. Of course, depending on your deductible and options, policies can differ in cost. With this in mind, no matter what your budget, if you drive – having personal insurance is always the best idea.


However, if you drive for work, things may get a bit more complicated.


Commercial Auto Insurance

If you are using a vehicle for work, you most likely need commercial coverage. This is also true for companies with a fleet of vehicles and drivers on the road. However, if you are a sole proprietor, personal vehicle insurance may be okay. The first step in determining if you need commercial auto insurance, is to look at who owns the vehicle. From there, there are further questions. Below is a brief overview of a few questions that your insurance agent will cover when discussing commercial vehicle coverage:


  • Is the vehicle titled under the company? 
  • Who is driving the vehicle? 
  • When driving, is the vehicle used only for business purposes or is it driven for personal use as well? 
  • What type of vehicle requires coverage? 
  • What are your required business liability limits?


For the sake of simplicity, let us assume that you are a business owner with at least one other employee, and that the company owns the vehicles in question. In this instance, commercial insurance provides higher coverage amounts and greater liability coverage for you, your passengers, and anyone involved in an accident than personal coverage would allow. Further, if the vehicle is titled under the business, you must carry commercial insurance.


Stop searching for the best ‘commercial insurance near me’ and give our team a call!

It is  important to note that one of the biggest challenges when facing insurance coverage is understanding the type of protection you need as well as the amount of coverage. If you find yourself searching for ‘commercial insurance near me,’ chances are, you need commercial coverage. Even if you are not sure, contacting your trusted agent will provide you with the important information needed to make the best decision. 


At Brownell Insurance Center, our experience allows us to provide our customers with upfront, honest, and always trustworthy information. From commercial to personal auto insurance, we can help you make the best, most informed choice! Please give our office a call today to discuss your options!


Brownell Insurance Center is located in Londonderry, NH. We offer coverage to NH business and residential customers. Please contact us today at  603-437-1992 for more information.