Entrepreneurship and self-employment has grown dramatically in recent years. People have taken their skills out of the workplace. Self-employment comes with a lot of benefits as your income generation and schedule are in your own hands. This control has allowed so many people to improve their quality of life. The benefits of entrepreneurship are massive, but there are some administrative considerations that come with it. This is especially true if you use your care for your self-employment. You may wonder, do I need business auto insurance if self-employed?
Do I Need Business Auto Insurance If Self-Employed?
If you are self-employed and use your car for business purposes, you should have business auto insurance. Personal auto insurance won’t cover vehicles used primarily for business purposes. Because of this, business auto insurance is necessary. Depending on the type of coverage you choose, you can be protected from unplanned accidents or issues. This includes liability coverage for property damage to others or bodily injury. It can also cover damage or theft of your vehicle. Additional coverage may be necessary depending on a quality risk assessment. Working with an experienced insurance company can ensure your needs are met so you are fully protected.
Understanding Business Purposes For Automobiles
Using your vehicle for business purposes can look different depending on your industry. This can include using your vehicle for delivery services, commuting to job sites, or conducting other business-related activities. Determining if your vehicle is used primarily for business purposes depends on a number of factors. This includes the industry you are in, how you use the vehicle, and the state where you conduct business. When assessing this, consider the percentage of activities related to your business and the percentage related for non-business purposes. If you use your care primarily for business purposes, it is a best practice to have business auto insurance.
Types of Business Auto Insurance
There are a number of options when it comes to business auto insurance. The type of coverage depends on your unique needs. Consider the following types of business auto insurance.
- Commercial Auto Insurance
- New Vehicle Replacement Cost Coverage
- Hired Auto Physical Damage with Loss of Use Coverage
- Expanded Towing
- Rental Reimbursement
Benefits of Business Auto Insurance
There are a number of benefits of business auto insurance for those who are self-employed. If you are on the fence about whether you should get business auto insurance, consider how it can benefit your business.
Financial Security:
Business insurance for large and small companies provides financial security. Accidents, damage to your vehicle, or even theft can be costly. These issues can cost you time and money, ultimately impacting your business’s bottom line. Business auto insurance can help reduce the impact of auto-related business issues.
Professional Credibility:
Having business auto insurance can improve your business credibility. Protecting your business can demonstrate your commitment to your business and customers. Professionalism in all areas of your business is the key to success as a self-employed person.
Legal Compliance:
Certain states and jurisdictions have different requirements for self-employed people. Complying with your state and local laws is necessary for the success of your business. Even if it’s not required, business auto insurance can still protect you and your business.
Business Auto Insurance in Los Angeles
If you are self-employed and use your care primarily for business purposes, purchase business auto insurance in Los Angeles. There are a number of benefits to having coverage. Not only can it protect your business but it can also protect your property. An insurance professional can provide you with their recommendations based on your specific business. Contact the team at Safecal Insurance Services today for more information!