Common types of commercial auto insurance claims in Texas

Commercial auto insurance can be essential for certain businesses. In Texas, it’s required for businesses to have commercial auto insurance if they use vehicles for work-related purposes. Whether your company uses a single vehicle or manages a fleet, this insurance can help your business avoid financial losses from covered accidents. Understanding the different types of coverage available and what common commercial insurance claims are may assist you with making informed decisions about your business.

Understanding commercial auto insurance coverage

Depending on your policy, commercial auto insurance may cover a variety of risks that can arise from using work-related vehicles. While coverage can vary depending on the provider and policy, here are some common types to be familiar with:

Liability coverage: This can help pay for damages to someone else’s vehicle, real property, personal property or bodily injury after a covered accident.
Collision coverage: This can help pay for repairs to your vehicle if it is damaged in a covered accident, regardless of fault.
Comprehensive coverage: This can help cover damage to your vehicle from non-collision events like theft, vandalism, or natural disasters.
Uninsured/underinsured motorist coverage: This can help pay for damages or injuries to you or your vehicle if you're involved in an accident with a driver who has no or insufficient coverage.
Medical payments/personal injury protection coverage: This may cover medical expenses for you and your passengers after an accident, regardless of fault. Personal injury protection coverage can help pay for lost wages if you can’t work after an accident.

Common claims

If you have a business in Texas, you may experience or have already experienced one of these insurance claim scenarios. Here are some common claims that businesses with commercial auto insurance may deal with:

Property damage

Liability coverage typically includes property damage, and this type of claim can be common for businesses in Texas. These claims may arise when your vehicle causes damage to someone else’s property, like another car, a fence, or a building.

According to the Texas Department of Transportation, commercial vehicles are involved in thousands of accidents each year. One of the most common property damage claims is a fender bender, where a minor collision occurs between two cars. Having liability and collision coverage may help you avoid costly payments after an accident, depending on your policy and who’s at fault.

Bodily injury liability

If you have liability coverage, your insurance can help pay for medical bills and lost wages when you injure someone else in an accident caused by your vehicle. In Texas, business vehicles may be involved in unfortunate accidents, and bodily injury claims can end up being costly. If your company vehicle causes an accident that injures others, your liability coverage may help cover those expenses.

Collision claims

Collision coverage can help pay for damages to your vehicle after an accident, regardless of fault. For Texas businesses with commercial vehicles, this type of coverage may be important for high-traffic areas, such as downtown locations or urban environments.

If you want to minimize the risk of collisions, businesses can help avoid accidents by having employees take an approved defensive driving program. Giving your employees useful driving resources may help your business evade unnecessary mishaps.

Uninsured/underinsured motorist claims

Both in and outside of Texas, uninsured/underinsured motorist coverage may be important because 14% of United States drivers do not have proper auto insurance. Having this additional coverage may help pay for damages or injuries to you or your car that are caused by an uninsured driver.

Though you may have collision and medical payments coverage that can help pay for your injuries or damages to your vehicle after an accident, uninsured/underinsured motorist insurance can also help pay for medical costs and property damage if the at-fault driver lacks sufficient coverage. Adding this insurance to your commercial auto insurance policy may help your business avoid costs caused by underinsured drivers.

Comprehensive claims

Comprehensive claims may involve theft, vehicle defacing, or weather-related damage. In Texas, severe weather events like hailstorms, hurricanes, or tornadoes may cause significant damage to your business vehicles. Theft and vandalism are also common causes for auto insurance claims, which comprehensive coverage may be able to help.

How to reduce the likelihood of commercial auto insurance claims

You may be able to avoid commercial auto insurance claims by taking proactive steps. Here are some tips that businesses can follow that may help minimize driving risks:

Regular vehicle maintenance: Taking your vehicle to a mechanic and checking on the functionality of headlights, wipers, brakes, and other car parts may help you avoid hazards while on the road.
Defensive driving programs: Providing training that can help employees improve their driving skills may assist with preventing accidents.

Commercial auto insurance can be important for businesses in Texas that use vehicles for work purposes. From property damage to bodily injury and natural disasters, commercial coverage may help your business avoid unexpected expenses. For a personalized quote or to discuss your options, you can call Agencia de Seguros de Accesso, LLC. at 214-764-8868 or visit a location near you.