What Is Commercial Van Insurance?
Commercial van insurance is business auto insurance typically purchased to cover a company van. You can buy commercial vehicle coverage for one business vehicle or an entire fleet.
The specific details of each policy vary, but commercial van insurance includes many of the types of coverage that you get with personal auto insurance. That can include:
- Liability coverage. This covers the damage or injuries sustained by others if the driver of your commercial van is at fault in an accident.
- Comprehensive and collision coverage. These coverage types cover damage to your business van if it's damaged in an accident (particularly if your driver was at fault) or via a non-collision event, such as theft or a tree falling on the vehicle.
- Medical payments coverage. This coverage helps pay for injuries to covered drivers and passengers injured in an accident in your van.
- Uninsured motorist coverage. You may also want coverage to help cover your losses if your commercial van is in an accident with an at-fault driver who isn't carrying insurance or doesn't have enough coverage to compensate you fully.
Who Needs Commercial Van Insurance?
If you own a business that provides delivery or transportation services, you need commercial van insurance. It’s a type of commercial auto insurance sometimes referred to as ‘Company Van Insurance’ or ‘Business Van Insurance’. Our company provides insurance quotes for hotels, churches, and other types of businesses that have vans and transport guests. What are some other examples of businesses that need commercial van insurance?
Why Do You Need Commercial Van Insurance?
Most states require commercial van insurance. Aside from the legal requirement, having the right amount of vehicle coverage provides a layer of protection for your business. With good insurance, you won't have to worry about expensive repair bills or liability claims following an accident, leaving your business struggling financially.
Common Commercial Vans
Below is a list of common commercial vans that may be covered:
- Cargo Vans: Cargo vans are vehicles with space meant to transport and deliver goods.
- Refrigerated van: Vans that transport perishable goods (Schwanns, ice cream trucks, etc.)
- Mini Van: Some businesses use these vehicles to transport people and goods if a large cargo van isn’t necessary.
- Wheelchair/Handicap Accessible Van: This type of van typically has a lift and extra space in the passenger area to accommodate wheelchairs and other equipment.
- Step Van: Delivery vans with a step that provides easy access—think UPS or USPS delivery trucks.
- Box Van: Heavy-duty box-shaped vans that can withstand transporting heavy items.
- Passenger vans: Passenger vans typically seat 12-15 people for the purpose of transportation.
- Shuttles: Vans used by airports and hotels to transport people and luggage between locations.
Common models of cargo vans include: Dodge Sprinter, GMC Savana, Ford E-Series, Ram Cargo Van, Bissan NC200/NV, and Chevy Express.
What is Typically Included in a Commercial Van Insurance Policy?
This type of commercial auto insurance is a combination of general liability coverage and property damage. Here's what's typically included in a commercial van insurance policy:
- Bodily Injury Liability: If you, an employee, or a hired driver are found at-fault for an accident, bodily injury liability coverage helps cover medical expenses for anyone injured in the accident—including transportation by ambulance if it’s deemed necessary.
- Medical Payments: If you/your driver and any passengers are injured in an accident, their medical costs fall under this coverage Medical Payments or Personal Injury Protection.
- Property Damage Coverage: If your commercial van damages anyone’s property (home, fences, mailbox, bikes, etc.), it will cover the cost of repair or replacement up to your policies limits.
- Physical Damage/Collision Coverage: This part of the policy covers any damage incurred to your vehicle in the course of an accident. It doesn’t matter who is at fault for the accident.
- Uninsured/Underinsured Motorist Coverage: If you’re in an auto accident and the vehicle at fault is uninsured or underinsured, this coverage will help cover the expenses their insurance would normally pick up.
- Comprehensive Protection: This portion of the commercial insurance is for damage that isn’t incurred during an accident. It would include damage from natural disasters, theft, or vandalism.
Other Types of Commercial Insurance to Consider
If you use cargo vans, box vans, etc. for your small business, there are some other insurance policies you may want to consider:
- Inland Marine Insurance: Commercial auto insurance often won't cover business equipment or tools not permanently affixed to the van. Inland marine insurance steps in to cover that gap.
- Commercial Auto Insurance: If you own commercial vehicles other than a van, consider a commercial auto policy for comprehensive coverage.
- Workers' Compensation Insurance: If you've hired drivers for your business, workers' compensation helps cover lost wages and medical costs in case of an accident that causes them physical harm.
- Professional Liability Insurance: If any part of your business requires giving your professional advice or opinion, you need this insurance to protect you.
- Commercial Property Insurance: If you own or lease a location for your business, consider property insurance to protect your business assets, such as any vehicle in your building and other expensive equipment.
How Much Does Commercial Van Insurance Cost?
Every state has different requirements for the minimum insurance coverage you need for commercial auto insurance. Cost is also determined by location of your business, driving history, claims history, and the number of miles typically driven by vehicle per year. Of course, the coverages and limits you choose for each portion factor in as well.
It also depends on whether or not you choose a ‘single claim limit’ policy or a ‘split claim policy’. Single claim limit is coverage up to a certain dollar amount per accident (i.e. $100,000 for bodily injury/damages incurred). A split claim policy typically holds three different dollar limits per each category: per person, total bodily injury, and total property damages. An example would be $35,000 per person, $70,000 total bodily injury, and $75,000 total property damage.
There are a few ways your business can save money on commercial van insurance, including:
- Require safety training for your drivers
- Bundling policies with the same provider
- Hire drivers with a record clean of traffic violations/accidents
What Do I Need to Get a Commercial Van Insurance Quote?
To get an accurate commercial van quote from one of our qualified agents, the following information is typically needed:
- Contact Information
- Social Security Number
- Financial Responsibility
- Named Insured
- Vehicle Year, Make, and ModelVIN Number
- Drivers/Violations of Drivers
- Business Type
- Type of Coverage Requested
Please note that your information remains private. The only reason a social security number is needed is to verify driving and credit history and to verify that all of the reported information is correct.
We want to help you find the right commercial insurance policy for your small business. Complete the form at the top of the page or give us a call at 1-877-907-5267 to receive a FREE quote.
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