What Insurance Covers Company Cars?
Commercial auto insurance covers company cars: liability for crashes you cause, plus collision and comprehensive if you add them to cover damage to the car itself.
Commercial auto insurance covers cars your business owns. Its liability coverage pays for injuries and damage your drivers cause to others. Damage to your own car is covered only if you add collision and comprehensive (physical damage) coverage.
Personal auto policies often exclude or limit business use, so don't rely on an owner's personal policy for a company car.
When you get quotes, list every vehicle and driver, describe how the cars are used, and pick liability limits that meet at least your state's minimum. If staff also drive rented or personal cars for work, add hired and non-owned auto coverage.
Coverage Guides Related to Commercial Auto Insurance
Sources for Commercial Auto Insurance Answers
- Glossary of Insurance Terms. National Association of Insurance Commissioners; Builders’ Risk Policies; Commercial General Liability; Directors & Officers Liability; Auto Liability; Business Interruption; Equipment Breakdown & Machinery. Accessed 2026-09-25.
- Commercial Insurance Guide. California Department of Insurance; Commercial General Liability; Commercial Property; Inland Marine; Boiler and Machinery. Accessed 2026-09-25.
- Glossary of Insurance Terms. National Association of Insurance Commissioners; Auto Liability; Auto Physical Damage; Business Auto; Commercial Auto. Accessed 2026-09-25.