There is no such thing as a company car that doesn’t need commercial motor insurance. That a van needs commercial van insurance, or that a truck needs commercial truck insurance, probably doesn’t surprise you. But if your company owns a regular old sedan or something; mostly used for little errands or short trips, then it needs commercial motor insurance too! It may be for no other reason than to make the company the insurance taker of all its vehicles – instead of having some cars insured under individual people in the company. That would just be messy and tough to figure out for the accounting guys. But there could be other reasons for having all company related vehicles under commercial motor insurance. How about volume discounts, for example? It makes a lot of sense that insuring a fleet of 20 vehicles would trigger some sort of bargain from the insurance company. It is called fleet insurance by the way.

Any car that ever leaves the parking lot is at risk of being damaged or doing damage to others. Some don’t even make it out of the parking lot, before they get dented or even wrecked completely! Even though your core business may not depend on that one car being operable every day, you still want it to be able to drive it whenever the need arrives. Furthermore, it might be important to have it look presentable when you do leave the parking lot. What sort of impression would a beat up car with your company logo on it make on your customers or clients? Especially if it is the first impression – you know what they say about those, don’t you? Yes – definitely get every company car insured. Commercial vehicle insurance is not necessarily more costly than private insurance. The car in question may not see even half the use your private car does; and it may be safely locked in the company garage most of the time. On top of that, it may be included under a fleet insurance policy, making things even cheaper.

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