Commercial vs Personal Auto Insurance: What’s the Difference?

Commercial auto insurance is designed for vehicles used primarily for business purposes, while personal auto insurance is intended for individual use. Using a personal policy for business activities may leave coverage gaps.

Commercial auto policies can provide higher liability limits and coverage for multiple drivers, vehicles, or specialized equipment. They are commonly used by contractors, delivery services, and businesses that transport goods or clients.

Understanding how a vehicle is used is key to determining which policy type is appropriate.