We found that Acuity, Auto-Owners, Axis, Federated Insurance, The Hartford, Nationwide and Sentry are the best commercial auto insurance companies. Each scored five out of five stars in our analysis.
We evaluated 28 large business insurance companies based on complaint data from the National Association of Insurance Commissioners to help you find the best options.
- Best Commercial Auto Insurance Companies
- Acuity A Mutual Insurance Co.
- Auto-Owners Insurance
- Axis Insurance
- Federated Insurance
- The Hartford
- Nationwide
- Sentry
- AmTrust Financial
- Old Republic Insurance
- Travelers
- Overview: Commercial Auto Insurance Ratings
- What Is Commercial Car Insurance?
- What Does Commercial Auto Insurance Cover?
- Do I Need Commercial Auto Insurance?
- How Much is Commercial Auto Insurance?
- What Is Hired and Non-Owned Auto Insurance?
- Do You Need Rideshare Insurance?
- 50 Largest Commercial Auto Insurance Companies by Market Share
- Methodology
- Best Commercial Auto Insurance FAQ
Best Commercial Auto Insurance Companies
Overview: Commercial Auto Insurance Ratings
Company | Forbes Advisor Rating |
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Acuity
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Auto-Owners
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Axis
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Federated
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The Hartford
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Nationwide
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Sentry
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AmTrust Financial
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Old Republic
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Travelers
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Canal Insurance
|
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EMC Insurance
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The Cincinnati
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What Is Commercial Car Insurance?
Commercial car insurance is a form of small business insurance for work vehicles. If you drive a car, truck or van for business purposes, you’ll need a commercial auto policy. Your personal car insurance likely won’t cover the vehicle if you (or an employee) get into an accident while driving for business.
Commercial auto insurance can cover everything from company cars to food trucks to delivery vans.
What Does Commercial Auto Insurance Cover?
Here’s a look at the types of coverage available with commercial auto insurance:
- Property damage liability pays for damages to another person’s property, such as their car, when you are at fault in an accident.
- Bodily injury liability pays for the injuries you cause another person when you’re responsible for an accident.
- Combined single limit (CSL) offers one limit for property damage claims and bodily injury claims.
- Collision insurance pays for damage to your business vehicle when it hits another car or an object, such as a pole.
- Comprehensive insurance pays for damage caused by weather, fire, falling objects (such as tree branches) and other problems. It also covers vehicle theft.
- Medical payments and personal injury protection (PIP) pay for the cost of medical care for you and your passengers, no matter who was at fault.
- Uninsured motorist coverage pays for your and your passengers’ injuries if your vehicle is struck by an uninsured driver.
Do I Need Commercial Auto Insurance?
If you are driving a vehicle for business purposes, you will need commercial auto insurance. Your personal car insurance policy won’t pay a claim if you get into an accident while driving your car for work.
Here are some examples when you need a commercial auto insurance policy:
- The vehicle is solely used for work (for example, a company car).
- You transport goods or people in your vehicle.
- You transport tools or equipment in your vehicle.
- Your employees drive your business vehicle.
- The vehicle is owned by the company.
- You conduct a business service with your vehicle.
Related: How commercial auto insurance works
How Much is Commercial Auto Insurance?
The average cost of commercial auto insurance is $147 per month, according to Insureon. More than a third (37%) of Insureon customers pay less than $100 per month, about a quarter (26%) pay between $100 and $200 per month and 37% pay more than $200 per month for commercial auto insurance.
Factors in Business Auto Insurance Cost
Here’s a look at the pricing factors for commercial auto insurance.
- Company business. The type of business you run impacts the commercial auto insurance rates that you’ll pay. If you mainly work at your office, you’ll pay less than someone who carries tools and equipment in a work van and makes customer calls all day.
- Vehicle. The type and size of the company vehicle affects the insurance rate.
- Driving history. Drivers with good driving records are rewarded with better rates.
- Location. If you work in a bigger city, expect to pay more for your commercial auto insurance than a business that operates in a small town. Drivers in areas with low accident frequency and few car thefts pay less.
- Mileage. How much you typically drive a commercial vehicle impacts rates.
- Coverage choices. Your coverage choices and insurance limits impact your rate.
What Is Hired and Non-Owned Auto Insurance?
If you have a business vehicle that you rent or a personal car that you sometimes use for business-related work, the vehicle won’t be covered by a commercial auto policy. But you can find coverage with “hired and non-owned auto insurance.”
Let’s say you’re driving your personal car to a business meeting and get into a car wreck. You’re at fault in the accident, and the other driver decides to sue your business. Hired and non-owned auto insurance would help cover these legal fees.
Methodology
We evaluated 28 companies based on commercial auto insurance complaints made to state regulators in 2021, using data from the National Association of Insurance Commissioners.
Best Car Insurance Companies 2024
With so many choices for car insurance companies, it can be hard to know where to start to find the right car insurance. We've evaluated insurers to find the best car insurance companies, so you don't have to.
Business Insurance Made Simple
Best Commercial Auto Insurance FAQ
What types of vehicles are covered under commercial auto insurance?
Commercial auto insurance generally covers work vehicles that are owned, rented or leased by a business and used for work-related purposes, such as delivering goods and transporting tools and equipment. This includes vehicles such as cars, box trucks, pickup trucks, dump trucks, food trucks, vans, funeral home vehicles and courtesy vehicles for repair shops.
Why are commercial auto insurance costs so high?
Commercial auto insurance typically costs more than personal auto insurance because insurance companies generally see driving for work-related purposes as riskier than driving for personal use. For example, a business consultant who drives to meet with several clients every week is more likely to have an accident compared to someone who drives to work once a day.
The best way to find a good price on commercial auto insurance is to shop around for quotes. It’s a good idea to get commercial auto insurance quotes from several different insurers.
How is commercial auto insurance different from personal auto insurance?
Commercial auto insurance is intended specifically for vehicles used for business purposes. Because of the extra risks associated with business use, commercial car insurance is generally more expensive than a comparable personal auto policy.
You’ll find business-specific coverage options and sometimes discounts for using a telematics program to track your fleet of vehicles.