7 Questions To Ask When Looking For Commercial Auto Insurance Texas

1. Ask about company guarantees

Specifically, ask whether the company stands behind its commercial vehicle insurance claims if you cannot make your monthly premium payment. It would be best to inquire about company solvency, especially when making sure that your loan payments will be up to date. Finally, ask whether your car insurance policy provides roadside assistance.

2. Ask about collision coverage limits

Specifically, ask about the maximum amount that your insurance policy will cover if you damage another vehicle, whether that accident occurs on the road or in a traffic intersection. In addition, ask about uninsured motorist coverage limits. "You get what you pay for," as the saying goes. An excellent way to determine the amount of coverage you need is to figure out how much, individually, you would have to pay if you were in an accident for which you are not insured. By figuring this out, you can get a rough idea of how much your policy will cost you.

3. Ask about liability limits

This question may seem obvious, but often there is an air of misunderstanding about this type of coverage. If the company has been in business for a long time in Texas and has a reputation for honoring its claims, there should be no problem answering this question. However, if the company has only recently opened in Texas, you should be skeptical. Liability coverage is not inexpensive, but it is necessary for any company that operates in this state.

This insurance will cover damages to the vehicle or property of someone you collide with as well as to your car. You will require collision coverage for accident-related damage and comprehensive coverage for non-accident incidents, such as theft, vandalism, hitting an animal, or storm damage.

4. Ask whether the company offers any discounts for various factors

For example, ask whether the company provides any discounts for policies purchased in combination with other insurance products. Also, consider asking whether a reduced rate will apply to those who have claimed the company's insurance in the past. The policy you are considering maybe a decent one to acquire if you can respond yes to these questions. Other than that, it is likely that this is a policy that you shouldn't even think about getting.

Savings are frequently available through a safe driver, continuous insurance, multi-policy, multi-car, and good student discounts. Additional reductions may apply if you insure a new or hybrid/electric vehicle or own a home. Payment also affects your premium. Some insurance providers offer discounts for total price, electronic fund transfer (EFT) or payroll deduction, as well as on-time payments.

5. Do I Have Enough Coverage?

The initial response to this question will vary according to the state in which you reside. Most states mandate a minimum level of liability insurance, which covers the expense of accident-related injury, death, car damage, property damage, and legal fees.

If you have a significant amount of personal property to safeguard, you may also choose to investigate excess liability insurance with your insurance representative. This is a separate personal liability policy that can kick in to pay expenses not covered by your auto (or house) insurance.

6. Another essential question to ask about a policy is whether it provides "umbrella" coverage

Umbrella coverage is additional coverage added to the basic policy. For instance, umbrella policies may provide coverage for personal property and damage to third parties while driving the vehicle.

However, some companies do not include umbrella coverage when selling commercial policies. So, ask the company about any umbrella coverage before purchasing the policy.

7. What factors affect the commercial auto insurance rates I pay in Texas?

It's all about the risk. The greater the provider believes the danger of insuring you is, the higher your commercial auto insurance premiums will be. Several elements are evaluated, including the kind and number of cars to be insured, the intended usage of each vehicle, the vehicle's weight; the typical length of time you drive each car; the number of drivers; and the driver's driving record. While discussing your commercial auto insurance needs with your representative, he or she will inquire about these factors.