Commercial Van Insurance
How to get the coverage you need for professional use of a van.
Written by
Christine Lacagnina has written thousands of insurance-based articles for TrustedChoice.com by authoring consumable, understandable content.
Reviewed by
Jeff Green has held a variety of sales and management roles at life insurance companies, Wall street firms, and distribution organizations over his 40-year career. He was previously Finra 7,24,66 registered and held life insurance licenses in multiple states. He is a graduate of Stony Brook University.
Whether you occasionally drive only one small delivery van or operate an entire fleet of commercial vans, you'll need to make sure you've got the right protection. Using vans for business purposes automatically requires you to get additional coverage beyond what's included in a personal auto insurance policy. If you use vans for your business, you'll need to get a separate policy entirely.
Fortunately, an independent insurance agent can help you find the right kind of commercial van insurance. They'll make sure you get set up with exactly the type of coverage your business needs. But first, here's a breakdown of commercial van insurance.
What Is Commercial Van Insurance?
For those who use vans, whether delivery vans, cargo vans, etc., for business purposes, a special form of coverage is required for the unique risks involved. A personal auto policy won't provide coverage for vans used for business purposes. You might need commercial van insurance if you operate any of the following for a business:
- Cargo vans
- Passenger vans
- Minivans
- Delivery vans
- Catering vans
- Sprinter vans
- Wheelchair vans
An independent insurance agent can help you find the exact commercial van insurance you need for your specific business, vehicle, and operations.
What Does Commercial Van Insurance Cover?
The type and amount of commercial van insurance you should buy depends on whether you're a business owner, entrepreneur, or contractor, among other things. The first step is to learn about the laws in your state, as many have specific insurance requirements for commercial vans and trucks. Most states mandate the following coverage types no matter the type of vehicle or driver:
- Bodily injury liability: Pays for claims resulting from injury or death after an accident.
- Property damage liability: Pays to repair or replace another person's property or vehicle that gets damaged in an accident.
While most states have a minimum required amount of liability coverage, it's a good idea to work with your independent insurance agent to ensure you purchase enough to fully cover yourself in the event of an accident.
Some states also require the following coverage:
- Medical payments: Sometimes called personal injury protection, this coverage pays for medical expenses or lost wages if you or your passengers get injured in an accident.
- Uninsured motorist coverage: Pays for costs of property damage and bodily injuries if another driver causes an accident but fails to carry adequate coverage of their own to compensate you.
Additional, optional coverage to consider:
- Collision insurance: Pays for damage to your van from a collision with another driver, regardless of fault.
- Comprehensive insurance: Pays for damage to your van due to a non-collision event such as a flood or theft.
An independent insurance agent can help you choose the right types of commercial van insurance for your needs.
Who Needs Commercial Van Insurance?
If you run a business that relies on the use of vans for any professional purpose, including deliveries, you'll need commercial van insurance. You might need commercial van insurance if you're in any of the following occupations:
- Caterer
- Contractor
- Courier
- Electrician
- Florist
- Mobile pet groomer
- Painter
- Plumber
An independent insurance agent can help you determine if you need commercial van insurance to help protect your business vehicles.
Do Independent Contractors Need Commercial Van Insurance?
For independent contractors who use vans for business purposes like deliveries, a separate commercial van insurance policy may be required. Some independent contractors can receive this coverage through the company they're contracted to do work for. However, this coverage might only apply when they're specifically hired for a project. Outside of your contract terms, you may need to have your own commercial van insurance policy to protect yourself.
How Much Does Commercial Van Insurance Cost?
The cost of commercial van insurance can vary just as much as standard auto insurance does. The make and model of the van you operate, as well as your unique business and its operations and risks, all impact the cost of a commercial van insurance policy. Other factors, like your location and where you operate the vehicle, as well as your personal driving history and credit score, can impact the cost of commercial van insurance as well. An independent insurance agent can help you find the best rate for a commercial van insurance policy in your area.
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Compare Commercial Van Insurance Quotes with an Independent Insurance Agent
When you're searching for the most affordable, quality commercial van insurance near you, no one's better qualified to help than an independent insurance agent. They will shop and compare multiple commercial van insurance companies in your area and present you with only the best options. Together, you'll make an informed decision about the policy that offers the greatest blend of coverage and cost.