One of the most common questions we get at Rogue Risk is:
How much does commercial auto insurance cost?
Now, I don’t want to bury the lead because I’m assuming what you’re really looking for is a number. Unfortunately, the cost of commercial auto insurance has a very wide range.
A small, safe sedan used for occasional appointments or running errands is going to be much less expensive than a large fleet of service and delivery vehicles with a wide radius of operation.
That being said, there are some standard ranges for the cost of commercial auto insurance.
Watch this video (or keep reading) to learn more…
How Much Does Commercial Auto Insurance Cost?
At Rogue Risk, we recommend a minimum liability limit of $1 million.
For this level of coverage, the median cost of commercial auto insurance is $147 per month or $1,764 per year. The reason we use the median cost is that it provides a more accurate estimate of what your business is likely to pay than the average cost because it excludes outlier high and low premiums.
However, depending on a few different factors you can bring this cost down.
The majority of RogueRisk365® clients pay less than $1,475 per year, per vehicle for their commercial auto insurance.
The key to our program is hiring good drivers, regular driver analysis and feedback with annual or semi-annual driver training.
Average Commercial Vehicle Insurance Rates
Below are examples of the range you can expect to pay for commercial auto insurance depending on the type of policy and vehicle you need to insure:
- Commercial car insurance cost: $900 to $2,000 – This would be for sales professionals, consultants, designers and anyone else using a private passenger vehicle for non-delivery-based driving.
- Commercial truck insurance cost: $1,100 to $2,400 – This range includes service and delivery vehicles commonly seen in contracting and retail businesses.
- Commercial taxi insurance cost: $5,000 to $10,000 – This range includes livery of all shapes and sizes.
- Commercial tractor trailer insurance cost: $9,500 – $20,000 – Commercial trucking is a class all to itself and must be handled accordingly.
Cost of Commercial Auto Insurance Explained
If you’re driving a newer vehicle that has comp and collision (full coverage), that is going to a lot of jobs, that has branding on it, that may have a rack, that is rigged out with different equipment, you’re going to be looking closer to $2,000 or more depending on how many vehicles you have, what those vehicles are doing.
There are several factors that play into what the cost of your commercial auto insurance is going to be.
Some of these factors will sound very similar to your personal insurance, make, model, year of the vehicle.
What does the vehicle cost new?
Some of them that are particular to a commercial auto insurance policy such as, what is the gross weight of the vehicle?
Now if your commercial auto is a car, not a huge issue, but if it’s a truck, if you’re getting into the, say if you’re driving a Ford F-250 an F-350, some of these larger, heavy duty, work trucks, those trucks will have an increased cost because of the gross weight of that vehicle.
Then you can have more standard items:
- What is the driving record or history of the primary driver, the employee who primarily drives that vehicle? What is the claims history for that particular vehicle?
- What is the specific usage of that vehicle?
- Are you going to be towing things?
- Do you do deliveries?
Is there any additional equipment on that vehicle that performs different functions, like a bucket loader? There are all types of different apparatus that can be appended onto a commercial truck or a commercial vehicle that can increase the cost to insure that particular vehicle.
Different insurance carriers, such as Progressive, will give discounts depending on the number of vehicles that you are insuring.
The Rub
There are many different factors that go into a commercial auto insurance policy, but many of them are very similar to a personal auto policy, except for additional items attached to the vehicle, the particular usage of the vehicle, the gross weight of the vehicle, just to name three that are unique to a commercial auto insurance policy.
Here are three reasons you should call Rogue Risk for your commercial auto insurance:
- You think that you may be overpaying for commercial auto,
- You don’t think your commercial auto is currently placed with the appropriate carrier, or,
- Your insurance professional doesn’t have conversations with you like this one.
If your current insurance professional has never addressed issues like this with you before, then I’d encourage you to reach out to us today.
- You can call or text us at 518.960.6600
- Click here to contact us via email.
I look forward to introducing you to a new way of viewing your insurance program.
Thank you,
Ryan Hanley
