Yes! You heard it right, insurance is tricky. It’s not about buying any grocery item from a departmental store or buying fashion clothes from any boutique. It is about buying some words or promise. It is the promise to take your life or business or anything in a smooth procedure if something goes wrong. It’s hard to value insurance as it is an intangible product.
Let’s understand about commercial vehicle insurance.
What is commercial vehicle insurance?
Commercial vehicle insurance is a policy of physical damage and liability coverage for total money, conditions, and usage not covered by personal vehicle insurance. This type of commercial vehicle insurance covers a variety of vehicles—including cars, two-wheeler or a wide variety of commercial trucks (Box trucks, food trucks, work vans and service utility trucks) of company. So, these are some of the larger commercial vehicles which also need insurance, including coverage for employees operating the vehicle and possibly the tools used inside the vehicle. You may have heard of this coverage referred to as commercial vehicle insurance, fleet insurance, truck insurance, or commercial car insurance.
How does commercial vehicle insurance work?
To claim the commercial vehicle insurance, you need to report the loss or damage of the vehicle quickly. There are two ways you can claim. One is by calling toll free number of your insurance company or through the online website of the company. Experts of your insurance company will guide you throughout the process. What you have to do is to provide your policy number for the reference.
Fill up the claim form carefully and attach a copy of a driver’s license and registration certificate with it. You will get either cashless claim or non-cashless claim. When you are getting your vehicle repaired at the garage which comes in the network of that insurance company, the insurance company will directly pay to that garage. On the other side, if you get your vehicle repaired at the garage which is not in the network of your insurer, you have to pay the bill yourself and then the insurance company will revert you the same amount later onwards.
Types of commercial vehicle insurance
There are mainly two types of packages: a basic package and a specialized package. Many different types of coverage are included in the package you choose for your vehicle.
Basic package
The basic package consists of collision coverage and comprehensive coverage. Collision coverage is there to cover another vehicle from an accident when you are at fault and it also covers your vehicle as well. Comprehensive coverage is there to provide regular coverage to your vehicle or car or truck.
Specialized coverage
Many insurance brokers provide a variety of specialized options for you to choose from. This can include every possible scenario in which your vehicle can be involved. Moreover, you won’t like if the price would be increased. So, it can be customized as per your requirement at your affordable price.
What should you look when you are buying commercial vehicle insurance?
When you are thinking to buy insurance, you need to think carefully about what to be taken care of. Here, we are discussing a few points which should be looked after before buying commercial vehicle insurance.
Go for comprehensive cover for better protection
Comprehensive cover provides you with the cover for yourself and your vehicle or truck against any accidental damage. It also covers any theft, accidental fires, and other damages. Third-party insurance does not cover any damage to yourself or your own vehicle. So, the suggestion is not to overlook comprehensive cover for expense.
Do not rush to buy commercial vehicle insurance
When you purchase a vehicle, your dealer may offer you insurance at the time of purchasing. But wait for a while and think, is it the best option for you to buy commercial vehicle insurance from your dealer? Does this cover from your dealer provide the best choice for your requirements? Don’t you want to compare the price with other insurance providers? Think about all these questions and then opt for the best one.
Do you need an additional cover as per your risk factor?
Sometimes your requirements are more than your insurance cover package. To get the optimum protection, you need add-ons on your commercial vehicle insurance. You need to check on your risk profile, and then you can go for add-ons.
Mandatory insurance- Third party insurance
Third-party insurance is a legal requirement in Australia. Compulsory third party insurance covers damage to the third party because of an accident done by your commercial vehicle. It does not cover your own vehicle or yourself. You need to make sure that you have third party insurance while you are buying any commercial vehicle.
So, these were the 4 points about commercial vehicle insurance. Let’s discuss your views and queries regarding vehicle insurance or truck insurance.