Commercial Auto Insurance in Michigan

Commercial auto insurance is important for businesses in Michigan because it provides financial protection from the liabilities associated with owning and operating motor vehicles. This insurance coverage is necessary to protect businesses from damages, medical bills, and other costs that may arise from an auto accident involving their vehicle or one of their employees.

Commercial truck insurance in Michigan also helps businesses repair or replace damaged vehicles as quickly as possible to reduce downtime and keep operations running smoothly. 

In addition, this insurance coverage helps businesses meet the requirements of their clients and other third parties who may require proof of the business’s financial responsibility. Furthermore, it helps protect businesses from incurring large out-of-pocket expenses in the event of an accident.

Commercial auto insurance policies in Michigan typically provide cover for the following losses:

a) Property Damage Liability: This coverage caters to damage to someone else's property resulting from an accident caused by you or your employee. This includes compensation for replacing damaged items, such as vehicles or structures, and any legal costs associated with a lawsuit.

b) Uninsured Motorist Coverage: This coverage provides protection if you or your employees sustain injuries in an accident involving an uninsured motorist. It covers medical expenses, lost wages, and pain and suffering resultant from the accident. This coverage can also protect against hit-and-run drivers who fail to stop post-accident.

c) Bodily Injury Liability: A crucial part of commercial auto insurance in Michigan, Bodily Injury Liability coverage offers financial protection from potential losses stemming from accidents involving vehicles or drivers. This section of the Commercial Auto policy covers harm to others in an accident caused by you or your employee, providing compensation for medical costs, funeral costs, and any related legal expenses.

d) Comprehensive Coverage: This coverage shields businesses from losses caused by incidents other than accidents, such as theft, vandalism, fire, hail, and other natural disasters. It also covers the costs of repairing or replacing a vehicle damaged due to these events. Insurers typically require businesses to carry this type of coverage for their commercial auto policy to be valid.

e) Collision Coverage: Collision coverage aids in covering the cost of repairing or replacing your vehicle if damaged in an accident. This coverage is usually necessary for businesses with vehicles to ensure ample protection from potential losses. Collision coverage pays for repairs up to the vehicle's cash value minus any applicable deductibles and covers any medical expenses, lost wages, and other costs related to accidents.

f) Medical Payments Coverage: Medical payments coverage helps to cover medical expenses incurred by you or your employees in an accident. It also caters to any funeral costs related to the accident and any legal fees arising from an accident-related lawsuit. This coverage can also offer protection if an injured individual cannot work due to their injuries.

g) Special Tort Liability Coverage: Special tort liability coverage provides protection from costs related to an accident, including legal fees, court costs, and damages awarded to the injured party. This is crucial for businesses that may be held accountable for a driver's actions.

h) Motor Truck Cargo (MCS90) Coverage: This is an important aspect of commercial auto insurance for businesses that transport goods. It protects against losses that may occur to the cargo during transportation. The MCS90 endorsement guarantees that the insurer will pay for any loss caused by the insured, even if the insured has violated the terms of the policy.

i) Additional Optional Coverage: Businesses can acquire additional optional coverage to protect their vehicles and drivers. These include rental reimbursement coverage, which covers rental car costs while a damaged vehicle is being repaired; towing and labor coverage, which covers the cost of towing and repair services post-accident; and gap insurance, which helps cover the difference between the actual cash value of a vehicle and the amount owed on a loan or lease.

Depending on the insurer providing the policy, other optional coverages may also be available. It is vital to consult with an experienced Commercial Auto Insurance provider in Michigan, such as Oakland Insurance, to understand what additional coverage may be available and how it can benefit your business.

In Michigan, commercial auto insurance policies may not cover everything. Here is what is not covered by the policy:

• Expenses such as unrelated medical costs resulting from an accident while an employee is driving a company vehicle
• Contents within the business vehicle
• Accidents that occur when an employee drives their personal vehicle for work
• An employee's personal vehicle

Our team can help you understand your specific needs and create a plan that safeguards both your current and future situations.

There are a variety of vehicles that can be covered under a commercial auto insurance policy. These include:

• Trucks, vans, and SUVs used to transport goods or services
• Cars and trucks used for business purposes
• Buses and limousines used as public transportation
• Ambulances, delivery vans, and other specialty vehicles
• Motorcycles used for commercial purposes
• Golf carts, ATVs, and other recreational vehicles used in business operations

No matter what type of vehicle your business owns, Oakland Insurance can provide the coverage you need to protect it against potential losses.

Several factors contribute to determining the cost of commercial auto insurance in Michigan. Shopping around and comparing rates from different insurers are vital strategies to find optimal coverage at an affordable rate. Factors typically influencing the cost of commercial auto insurance encompass:

a) The age, make, and model of the vehicles being insured: Older vehicles may incur more expensive premiums due to their elevated repair and replacement costs.

b) Claims history: Businesses without claims may qualify for discounts on their commercial auto insurance premiums.

c) Driving records of individual drivers: Drivers with poor driving records may be subject to higher coverage charges.

d) The type and amount of coverage desired: Companies may opt for higher levels of coverage to ensure comprehensive protection in the event of an accident.

e) The number of miles driven per year: Businesses that log more miles may face higher premiums.

f) Risk level involved: Occupations associated with higher risks, such as those involving hazardous materials, may necessitate higher coverage limits.

g) Safety and risk management programs: Insurers may consider the safety measures and risk management programs a company has implemented. Effective plans might include the use of telematics for vehicle and driver monitoring, a strict cell phone use policy to address distracted driving, and consistent Motor Vehicle Record (MVR) reviews.



On average, commercial auto insurance policies in Michigan cost around $142 per month.

Generally, commercial auto insurance policies in Michigan are more expensive than personal auto insurance policies due to the extra liability risks associated with business vehicles. However, by shopping around and comparing rates from various insurers, businesses can find affordable coverage that meets their specific needs.

Finding the best deal on commercial auto insurance in Michigan can be a challenge. Here are some tips to help you get started:

• Shop around – Different insurers will offer different rates, so it is important to compare quotes from multiple providers before making a decision.
• Compare coverage types – Make sure you understand the differences between comprehensive, collision, and other optional coverages and select the one that best meets your needs.
• Consider discounts – Ask about any available discounts for things such as safe driving, multi-vehicle policies, or vehicle safety features.
• Look at customer reviews – Check online to read customer reviews and ratings of different insurance providers to understand their service quality better.
• Check licensing requirements – Make sure any provider you choose is properly licensed by the Michigan Department of Insurance.
• Review coverage limits – Determine what level of coverage will provide adequate protection without breaking the bank.
• Ask questions – Don’t be afraid to ask an insurance representative any questions you may have before making a decision.
  

How It Works

Oakland Insurance follows a straightforward process in providing businesses with commercial auto insurance in Michigan:

1. Assessment - Our experienced team of agents will evaluate the scope of your business operations and tailor a policy that covers the specific needs and challenges you face.
2. Coverage Options - We offer a range of coverages to meet the different requirements of various businesses, such as liability, cargo, physical damage protection, and more. We can customize your policy to include additional services as needed. 
3. Plans and Pricing - Once we have discussed your business needs, we will provide multiple auto insurance quotes from different carriers for you to compare side by side.
4. Finalization - Once you have selected your preferred option, we will finalize all required documents and securely send them to you 
5. Customer Support - If you have questions about your policy or need assistance filing a claim, our team is always here to help! Oakland Insurance provides superior customer service and will ensure that you are taken care of every step of the way. 

Contact us today to get started!



Many business owners have questions about commercial auto insurance in Michigan. Here are some of the most common ones:

How much will commercial auto insurance cost?

The cost of commercial auto insurance will depend on several factors, such as the type of vehicles being insured, the amount of coverage needed, and the driving record of any employees operating company vehicles. 

What happens if I get into an accident while driving a company vehicle?

If you are involved in an accident while operating a company vehicle, your commercial auto insurance policy will cover the costs of repairing or replacing the vehicle and any medical bills incurred by the other driver. It is important to remember that it is illegal to drive without adequate coverage, so make sure you have the right coverage for your business.

Can I add drivers to my commercial auto policy?

Yes. You can add additional drivers to your policy if they meet insurance company requirements, such as a valid driver’s license, good driving record, and age restrictions.

Having Questions? Talk to Us Today.

Oakland Insurance is here to help you find the best commercial auto insurance policy for your business. We understand that choosing the right commercial auto insurance policy can be complicated and confusing, but we are here to make it easier. 

Our experienced agents will walk you through the process step-by-step and answer any questions you may have. With Oakland Insurance, you can be confident that you’re getting the coverage you need at a price that fits your budget.



Call us today or get an online quote now to get started! We look forward to helping you protect your business with quality commercial auto insurance in Michigan.