When an employee is given a car to use for business purposes, there are a lot of liability issues that fall onto the shoulders of the company. This is why it is important for companies that require their employees to drive on a regular basis to have Business Auto Insurance in Watertown. This protects the employees, the company, and the company vehicles. A standard car insurance policy is going to cover using cars for personal, domestic, and social use. This includes running errands, going out, going shopping, or visiting a friend. A standard policy would automatically cover your car driving to and from work as well.
If an employee is required to drive their car to several different offices or they are required to visit clients, it is possible for hundreds of miles to be put on their car every week for business-related purposes. Any time a vehicle is used for company business a business owner is required to get Business Auto Insurance in Watertown on the vehicle. Naturally, it is still important to make sure that you get the right kind of coverage for your business vehicles.
The biggest reason why Business Auto Insurance in Watertown is more expensive than standard car insurance is because insurance companies consider driving for an employer to be more risky than driving for pleasure. The driver is going to be driving more miles in a week, driving during heavy traffic, and driving on unfamiliar roads. All of these situations increase the risk of a claim.
The fact that this kind of auto insurance is more expensive has led some people to lie about certain factors in order to try to bring down the cost. While this may bring down the cost if something were to happen to your driver or the car, the insurance company would find out about the lie when a claim is made. Then, the company would be forced to pay for medical expenses and fix the car out of its own pocket because the insurance would not cover a policy that was based on a lie. Contact now Midwest Insurance Group.
