Get Kentucky commercial auto insurance quotes, cost & coverage fast. KY business auto helps pay for damaged vehicles, property, bodily injury and medical expenses if you or an employee is found at fault for an accident.
KY Business Auto Insurance
It's pretty obvious that a company that has a fleet of vehicles and uses them to transport goods or perform services should have Kentucky commercial auto insurance. However, if you own a small company or are a sole proprietor and don't have commercial drivers, it can be hard to determine if this type of insurance is right for you. Your personal auto insurance may not cover you or any of your employees in the event of an accident, so it's essential to find out immediately if Kentucky commercial auto insurance is necessary.
Business auto insurance is a policy that covers any KY vehicles that are used for your business, as well as the people who drive those vehicles. It provides financial protection for you and any employees that drive for reasons related to your business if an accident or some other type of incident occurs.
While business vehicle insurance has some similarities to personal auto policies, there are notable differences in eligibility, coverages, exclusions, definitions & limits. Commercial car insurance is needed for certain type of vehicles (think heavy vehicles like tractors, dump trucks etc.). This can include cars used for business purposes as well as box trucks, food trucks, service utility trucks, etc.
Does My Business Need Kentucky Commercial Auto Insurance?
The best way to determine whether or not you need Kentucky commercial car insurance is to speak to an insurance agent or someone else who has ample knowledge of the topic. However, if the business you operate uses vehicles on a regular basis, it's a pretty safe bet that you are going to need it, no matter what size your business is.
Some professions that require Kentucky commercial auto insurance include the following:
- Home heating oil companies
- Delivery companies (food, packages, etc.)
- Livery drivers
- Tow truck operators
If your profession isn't listed above, don't assume that you don't need KY business auto insurance. As mentioned, if your business uses vehicles, there's a pretty good chance that you are going to need it. Also you might be contractually required to have it of a customer requires it as part of a deal.
What Does Kentucky Commercial Auto Insurance Cover?
You might already have some familiarity with some of the different types of business car insurance since many polices share names with personal vehicle insurance policies. Some of the most commonly used coverages in policies include:
- Collision. This covers any damages that a vehicle may receive if it is involved in an accident.
- Comprehensive. This policy covers any losses that occur if your vehicle becomes damaged in an accident that does not involve a collision, such as fire, flooding, hail, damage from a fallen tree, theft, or vandalism.
- Liability. This policy covers bodily injuries that others may sustain as a result of a vehicle that is used for your company. It also covers any expenses to replace or repair someone else's property should a business vehicle cause an accident. It is the most commonly needed - and required - Kentucky commercial auto insurance coverage.
- Uninsured / Underinsured Motorist. With this coverage, any injuries that are sustained or damages to your vehicle will be covered if an accident occurs with someone who does not have insurance or who does not have enough coverage to pay for the damages or injuries.
Whatever policy you choose, you should consider extending it so that it will cover any employees who may drive in order to complete tasks that are related to your KY business. For example, if you own a restaurant that delivers food, it's a wise idea to have your delivery drivers covered.
What Kentucky Commercial Auto Insurance Doesn't Cover
Know as exclusions, which elimiate risks for the insurer, Kentucky commercial auto insurance typically does not cover:
- Intentionally damage caused by the business owner or employees.
- Workers compensation.
- Employer's liability.
- Contractual liability.
- Amounts beyond the policy limits and auto value.
How Much Kentucky Commercial Auto Insurance Coverage Do I Need?
It can be tricky to figure out how much vehicle insurance you will need for your business. An agent that specializes in this type of insurance will be able to help you determine an appropriate amount for your specific needs. It's important to be aware that at the bare minimum, you have to make sure that you have enough coverage to comply with any insurance requirements that are set forth by Kentucky.
The following factors can be used to help you figure out how much coverage your business will need:
- Your business' size
- How much your assets are worth
- The amount of vehicles your company uses
- The number of people who drive for your business
- How much you will be able to afford to pay out of pocket in the event that an accident does occur
How Much Does Kentucky Commercial Auto Insurance Cost?
How much does Kentucky commercial auto insurance cost? The average price of business vehicle insurance varied widely based on certain factors. The premiums vary depending on the company and their underwriting rules, and it depends on the coverages and deductible selected. Following are some of the main factors that go into the price of a policy based on the business:
- Geographical location - The more dangerous your location is the higher premiums you will pay as there is a higher probability for claims. If you live in a highly populated urban area accidents and insurance claims happen more often and rate are higher.
- Previous insurance coverage - Continual auto insurance history can help get you a better rate.
- Vehicle types - Purchase price, theft rate, cost of repairs, accident rate and safety tests weigh heavily in car insurance cost.
- Vehicle use - A vehicle used to haul hazardous waste more of a risk than the van used to drive to a worksite.
- Miles driven annually - The less you drive, the less risk you have of being in an accident.
- Business credit history - The better credit you have, the lower your rates. Most insurers look at credit and weight it heavily.
- Coverages - The more coverage you choose with higher limits, the more it will cost you since the insurer is taking on additional risk.
- Deductibles - The deductible is your out of pocket cost before your policy kick in. Lower deductible = higher premium, and higher deductible = lower premium.
And the following factors have an effect on the price based on the acutal drivers:
- Age - Typically drivers under 25 pay more because statistically shown to be inexperienced behind the wheel, easily distracted and to crash more often. They are on of the riskiest category of drivers to insure.
- Gender - Data shows males are more likely to crash, hence men's premiums are higher.
- Marital status - Married people have been found to be less of a risk to insurers than singles, including divorced or widowed drivers.
- Years of driving experience - Inexperienced drivers pose more risk. That is why under 25 have some of the highest rates.
- Driving record - Drivers with a clean driving record qualify for better rates and can be eligible for a safe driver discount.
- Claims history - More claims = more premium. Insurers actually count frequency (how many claims in a time frame) more than severity (how large the claim was).
What Are Kentucky's Financial Responsibility Requirements?
According to the KY Division Of Motor Vehicles:
An owner may not operate a vehicle in Kentucky until insurance has been obtained. An owner who fails to maintain insurance on his vehicle shall have his vehicle registration revoked according to statute. In addition, the vehicle owner as well as the vehicle driver are subject to a fine of $500.00 to $1,000.00, up to 90 days in jail, or both.
All owners of motor vehicles in Kentucky are required to carry minimum liability coverage. This means liability coverage of $25,000.00 for all claims for bodily injury damages sustained by any one person and not less than $50,000.00 for all bodily injury damages sustained by all persons as a result of any one accident, as well as $10,000.00 for all property damage as a result of any one accident. Alternatively, a policy with a single limit of $60,000.00 is acceptable. In addition, the policy must provide basic reparations benefits, unless the insured vehicle is a motorcycle.
Further Reading On Business Auto Insurance
Read through helpful commercial auto insurance for small business to help you better understand polices you own or are buying.
- Business Auto Coverage Form
- Bobtail And Deadhead Coverage
- Bobtail And Physical Damage Insurance
- Bobtail Insurance vs Non-Trucking Liability
- Commercial Auto Insurance Hired And Non-Owned
- Commercial Auto Insurance vs Personal Cost
KY Business Auto Insurance Quotes
Request a Kentucky Commercial Auto Insurance quote in Alexandria, Ashland, Ashton, Bardstown, Berea, Bowling Green, Burlington, Campbellsville, Covington, Danville, Edgewood, Elizabethtown, Erlanger, Fayette, Florence, Fort Knox, Fort Thomas, Francisville, Frankfort, Franklin, Georgetown, Glasgow, Henderson, Hopkinsville, Independence, Jeffersontown, Lawrenceburg, Lexington, Louisville, Lyndon, Madisonville, Mayfield, Maysville, Middlesborough, Mount Washington, Murray, Newport, Nicholasville, Ownesboro, Paducah, Paris, Radcliff, Richmond, Shelbyville, Shepherdsville, Shively, Somerset, St. Matthews, Versailles, Winchester and all other cities in KY.
Kentucky Insurance Rules
In KY, there are some insurance regulations that you should be aware of before you start your business or even strike out on your adult life. We will be looking at both business and personal insurance, and the regulations that affect consumers that get these types of insurance. Let's look at personal and business insurance in greater detail according to the regulations in Kentucky.
KY Business Insurance
The first regulations to be aware of is the regulations governing business insurance in Kentucky. Like most states, Kentucky does not require businesses operating in the state to carry commercial liability insurance.
Kentucky is a pure comparative negligence state which means that the plaintiff can recover damages even if they are 99 percent at fault. There is also no personal injury in Kentucky and the statute of limitations is one year.
There are also some mandatory types of business insurance that are required in Kentucky. One type is required in almost all 50 states and is known as Worker's Compensation insurance. In Kentucky, if you have at least one full or part-time employee, then you're required to carry Worker's Compensation insurance. If you have a sole proprietorship where you are the only worker, then you're not required to carry.
You can contact the Kentucky Labor Cabinet to find out about exemptions. The only other type of mandated business insurance in Kentucky is commercial auto insurance if the vehicle is used regularly as part of the business.
Kentucky Personal Insurance
There are a couple of different types of personal insurance regulations that we will be covering. The first is auto insurance. In Kentucky, drivers are required to carry liability coverage that is $25,000 per person or $50,000 per accident as well as $10,000 for property damage. This is pretty much standard for auto insurance in most of the other states out there. Some are a little higher and some are lower.
There are also certain regulations governing life insurance in Kentucky. Life insurance is a regulated industry with the rules listed in Title 25 Chapter 304. One regulation is that Kentucky residents are permitted what is called a free look. That is available in almost every state. Illinois residents can have life insurance for 10 days and if at the end of those 10 days they have evaluated their policy and do not like it they can cancel for a full refund. In addition, Kentucky insurance companies must provide a grace period of 30 days.
If you are looking for state specific Commercial Auto Insurance quotes, costs and information: California Commercial Auto Insurance, Colorado Commercial Auto Insurance, Delaware Commercial Auto Insurance,Florida Commercial Auto Insurance, Illinois Commercial Auto Insurance, Kentucky Commercial Auto Insurance, New Jersey Commercial Auto Insurance, New York Commercial Auto Insurance, Oregon Commercial Auto Insurance, Pennsylvania Commercial Auto Insurance, Texas Commercial Auto Insurance, Washington Commercial Auto Insurance.