Guide to Car Rental Business Insurance

As a car rental business owner, recognize that you have a unique asset. Finding the right insurance policy is essential to protecting the long-term future of your business. Finding the appropriate coverage for your car rental business could be complicated because you likely have a unique fleet of vehicles. To help guide you through the process, here's a closer look at how to structure your car rental business insurance policy.

Finding Quotes

Insurers will assess multiple factors while calculating your car rental business insurance rate, including the size of your business, its location, the number of employees, the number of cars in your fleet, and the current value of your fleet. Insurers will also assess the types of vehicles that you have in your fleet. You'll likely pay higher premiums if you use trucks, considered more high-risk than vehicles. Insurers will also assess whether your fleet hosts any equipment or accessories. Using a fleet of luxury vehicles or vehicles that host expensive equipment also raises your premiums.

Essential Car Rental Business Insurance Policies

General Liability Insurance

General liability insurance is the foundation of your insurance policy and a legal requirement in most states to operate a business legally. General liability insurance covers you if your business accidentally causes property damage or hurts someone. The policy will help protect the impacted party's medical treatment and potential repair or replacement costs. General liability insurance also covers your business against allegations of slander and libel. It's recommended that you consider adding excess liability coverage. Excess liability insurance provides extra protection for operating high-risk businesses such as car rentals.

Commercial Fleet Insurance

Commercial fleet insurance protects your cars. The policy covers potential damages and other issues that may arise while using your commercial vehicles. One variable to consider is the size of your business. If you operate a small rental business with only a few cars, you may find enough coverage by purchasing a traditional commercial auto insurance policy.

Workers' Compensation

Workers' compensation is essential to your car rental business insurance policy. Your employees likely play a massive role in ensuring your business functions properly. While obtaining workers' compensation insurance is a legal requirement, it's also a great way to maintain employee morale. Workers' compensation covers your business if there is an injury in the workplace. The policy covers your employee's medical treatment and lost wages if they cannot work for an extended period.

Commercial Property Insurance

Commercial property insurance covers potential damage to your equipment and other property your business utilizes.

Comprehensive Insurance

Comprehensive insurance protects your fleet in unique situations. The coverage steps in if your vehicles are stolen or damaged due to severe weather. You'll also be covered if one of your vehicles breaks down on the road and you need urgent assistance.

Medical Payments Coverage

Medical payments coverage will assist with your employee's medical treatment if they sustain injuries in an accident. Medical payment coverage benefits businesses because your employees will have their medical treatment covered regardless of whether they are at fault for the accident.

Other Coverages to Consider

It's recommended that you assess your car rental business's unique aspects before adding extra coverage to your car rental business insurance policy. Garage/Storage coverage is worth considering, as it covers your fleet if an emergency occurs while the vehicles are parked there. Rental coverage helps you find another vehicle to use temporarily while the one in your fleet is being repaired.

Consult with Fuller Insurance Agency!

Car rental business insurance policies generally have higher premiums than other types of auto insurance because of the increased risks. If you are searching for coverage, contact the team here at Fuller Insurance Agency. We will help you find the right policy to protect your business.