March 4, 2024


Owning and operating your own business is becoming more and more popular these days. After all, who doesn’t want to be their own boss? But what does this mean for businesses that use personal vehicles to conduct company business?

Depending on the type of business, who drives the vehicle, and how the vehicle is used, you may be able to insure your vehicle under a personal auto policy, according to Central experts.

What types of businesses are covered by a personal auto policy?

Types of businesses that are generally considered acceptable when keeping your business vehicle under a personal auto policy include:

  • Real estate broker
  • consultant
  • lawyer
  • sales representative
  • doctor

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Who can operate a vehicle under a personal auto policy?

Most of the time, if you (or a family member in your home) are the sole operator of the vehicle and you don’t transport goods, your personal auto policy will be considered an acceptable risk. A business policy is better suited if you have employees who operate your vehicles on a regular basis.

The weight of the vehicle is also involved. Vehicles with a gross vehicle weight over 10,000 pounds are not eligible for personal auto insurance policies.

How does vehicle use affect my personal auto policy?

If you use your vehicle for any type of delivery, such as pizza, post, flowers, hazardous materials, etc., you will need commercial insurance for it. Additionally, commercial insurance is required for any type of rental transportation, such as taxis, day care, elderly care, etc.

When you work for a transportation network company like Uber or Lyft, there may be exceptions to the rental transportation rules. Many car carriers have created personal car policy endorsements specifically for these carpooling events, providing coverage for these situations. Check with your car insurance company to make sure you still have coverage.

Learn more | yesYou’ve just been in a car accident: what now?

What if my company provides vehicles for my use?

Some companies provide employees with company vehicles for business and personal use. In this case, you are usually covered under the company’s business policy. Depending on your employer’s requirements, it’s never a bad idea to insure yourself with a personal auto policy, which can be easily done by: Additional endorsement.

The Value of Central Total Car Protection

From basic coverage to our premium coverage Signature Auto Insurance Policy, Central offers a wide range of auto insurance policies to suit your individual needs.Every Central personal auto policy includes 24/7 access to our roadside assistance program, we offer many discounts and points Help you save on insurance costs. Consult your independent agent to find the policy that best suits your specific needs and circumstances.

The above information is general and your policy and coverage may vary from the examples provided. Please read your policy in its entirety to determine your actual coverage.

Products are underwritten by Central Mutual Insurance Company and its affiliates.
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