How Can Using Your Car For Business Purposes Affect Your Auto Insurance?
Commercial Auto Insurance Needs
Each time you get in your car to run an errand or head to work, your auto insurance should give you peace of mind in knowing that you are protected in case of any incident. However, if you start using your car for business purposes, such as if you take a second job delivering pizzas, your personal auto insurance policy may not provide the protection that you need.
Most personal auto insurance policies have special exclusions when you use your personal vehicle for commercial uses. However, it is important to remember that not every policy is the same, so you should always check with your insurance agent about the coverage that is provided by your policy before you invest in extra coverage.
The type of vehicle that you are driving for business purposes can also have an impact on the type of coverage that you need. Many personal auto insurance policies will provide coverage for a private passenger car that you are using for coverage, including a truck or van, while others have strict restrictions on the type of cars that will be considered a commercial vehicle.
With the increasing popularity of ridesharing apps, such as Lyft and Uber, more and more people are using their personal cars for commercial purposes. While these companies provide an umbrella policy for all of their drivers, there are many loopholes that can lead to you not being covered. Before taking on a second job that requires you to use your personal vehicle, make sure to take the time to look over your policy as most all personal auto policie specifically exclude this activity.