When exactly do I need commercial auto insurance?

If you want to use your vehicle for business purposes, you need to register it as a commercial vehicle. Every commercial vehicle must have commercial auto vehicle insurance along with a commercial license plate or tag.

Commercial vehicles with commercial vehicle insurance are usually used to carry out the following functions:

  • To transport machinery and other heavy equipment’s
  • To carry inflammable or intoxicating material.
  • To carry housekeeping instruments for your business.
  • To move cranes from one place to another.
  • To deliver wholesale or retail supplies.
  • To deliver newspapers.
  • Using the vehicle as a cab or rickshaw service.
  • To carry out various extra activities for a said business corporation.
  • Using the vehicle to run miscellaneous errands on behalf of a business.