There are two types of car insurance: personal auto and commercial auto insurance. You may think they are similar. However, they have different purposes and plan options. Understanding the difference between personal auto and commercial insurance Lethbridge helps you choose the appropriate vehicle plan for your business and employees.

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Purpose of insurance

The sole difference between personal and commercial auto insurance is its use. Opt for personal auto insurance for vehicles used for personal activities. These activities are everyday commuting, running errands, and leisure driving. On the other hand, commercial auto insurance is for vehicles used in business. These include transporting goods, employees, and also for delivering products. If you use a personal vehicle for business, opt for a commercial car insurance Lethbridge policy.

Insurance plan limitations

Commercial auto insurance offers high insurance limits compared to personal auto insurance. Your business needs an extensive insurance plan for carrying valuable goods, transporting employees, and driving in high-risk areas. On the other hand, personal auto insurance is for everyday drivers and does not provide maximum protection to a commercial vehicle. For instance, a commercial auto policy yields higher liability protection during accidents of business vehicles.

Types of vehicles

Commercial auto insurance provides plans for vehicles that are not for personal use. These vehicles are trucks, cargo, vans, and service vehicles. Vehicles like construction trucks with specialized equipment are also liable to commercial insurance.On the other hand, personal auto insurance includes private passenger vehicles like cars and smaller trucks. Their primary use is for personal activities. For a commercial vehicle, personal auto insurance does not provide proper coverage in case of an accident. Here is some more information.

Driver’s insurance

Personal auto insurance is primarily for the policyholder and their immediate family. Whereas, commercial auto insurance is for a variety of drivers and vehicles. It includes employees, contractors, or other drivers of the business vehicle. It is for businesses with multiple drivers, such as delivery professionals or transportation companies. Commercial auto policies provide coverage for employees driving the business vehicle for work-related tasks. These include running business errands or visiting clients.

About Schwartz Reliance Insurance Coaldale:

Schwartz Reliance Insurance Coaldale is a renowned insurance company. It meets the changing insurance demands of local and regional businesses. It helps find the best Lethbridge home insurance plans for property owners. Further, it also offers various insurance policies for personal and commercial purposes. It understands your business needs and helps find the desired insurance policy.

To get more details, visit https://schwartzrelianceinsurance.com/

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