Commercial Auto Insurance Guide for Texas Businesses

If your business uses vehicles, commercial auto insurance is essential. It's different from personal auto insurance and required for business vehicles.

What is Commercial Auto Insurance?

Commercial auto insurance covers vehicles used for business purposes, including:

• Company-owned vehicles
• Vehicles used for business purposes
• Hired and non-owned vehicles
• Delivery vehicles
• Service vehicles

Texas Requirements

Texas requires minimum liability coverage for commercial vehicles:

• $30,000 per person for bodily injury
• $60,000 per accident for bodily injury
• $25,000 for property damage

However, these minimums are often insufficient for business needs.

Types of Commercial Auto Coverage

Liability Coverage

• Bodily injury liability
• Property damage liability
• Higher limits recommended for businesses

Physical Damage Coverage

• Collision coverage
• Comprehensive coverage
• Protects your business vehicles

Additional Coverages

• Uninsured/underinsured motorist
• Medical payments
• Rental reimbursement
• Towing and labor

Factors Affecting Premiums

• Type of business
• Number of vehicles
• Driver records
• Vehicle types and values
• Annual mileage
• Coverage limits
• Deductibles

Cost-Saving Strategies

1. Maintain Good Driver Records

Implement driver safety programs and background checks.

2. Choose Appropriate Vehicles

Safer, less expensive vehicles typically cost less to insure.

3. Increase Deductibles

Higher deductibles can lower premiums if you can afford the out-of-pocket cost.

4. Bundle Policies

Combine commercial auto with other business insurance for discounts.

5. Review Coverage Annually

Regular reviews ensure you're not over-insured or under-insured.

Fleet Insurance

If you have multiple vehicles, fleet insurance can:

• Simplify management
• Provide volume discounts
• Offer flexible coverage options

Hired and Non-Owned Auto Coverage

Protects your business when:

• Employees use personal vehicles for business
• You rent or lease vehicles
• You hire contractors with vehicles

Working with TGI Agency

We specialize in commercial auto insurance for Texas businesses. Our team helps you:

• Understand coverage requirements
• Find competitive rates
• Manage fleet policies
• Review and optimize coverage

Contact us for a commercial auto insurance quote tailored to your business.