Protect Your Vehicle Against Expensive Risks
Agawam, Massachusetts, is a city in Hampden County that has a population of approximately 29,000 residents. Situated on the western side of the lush Connecticut River, Agawam is popular for both locals and tourists. The town has played an important role in U.S. history, with landmarks dating back to the American Revolution. Today, the city is a close-knit community that is considered safe and family friendly. The area maintains a small-town feel, and the public school system is highly rated. Further, home prices remain relatively stable, and there are few major crimes reported each year.
Agawam is also an area with a booming economy, and many small businesses call the area home. If you are an Agawam resident or business owner, you likely own a vehicle for personal or business use. Company vehicles are used exclusively for work purposes and require a separate insurance policy. Business car insurance varies from personal car insurance, and there are things to consider before choosing a policy. Here is everything you need to know about Agawam car insurance for personal or business needs.
Requirements for Commercial vs. Personal Car Insurance
If you own a car or vehicle for personal use, the state of Massachusetts requires you to have car insurance to protect yourself, your vehicle, and other drivers while on the road. The required coverages include bodily injury to others, personal injury protection (PIP), bodily injury caused by uninsured auto, and damage to someone else’s property. There are several optional insurance coverages you can add – such as Comprehensive and Collision – which are strongly recommended to minimize financial risk and liability. HUB can analyze your unique needs and provide you with a tailored personal Agawam car insurance policy.
As a business owner, you need to carry insurance for the cars, trucks, or vans you utilize for professional purposes. Your general Businessowners Policy likely does not provide coverage for vehicles. Therefore, you must purchase a separate policy to protect your cars in case of an accident.
Most states, including Massachusetts, require business owners to buy liability insurance for property damage and bodily injury that may result from an accident when you or an employee is driving a company vehicle. You may also choose to buy physical damage coverage for cars that your business uses for professional purposes.
You will likely be required to fill out a Business Auto Coverage Form when purchasing business auto insurance. Although this form only refers to automobiles, it provides coverage for many motor vehicles, including trucks, trailers, vans, and more. Each vehicle your business owns, or leases can have different protections. For instance, you can choose distinct levels of coverage for different vehicles depending on the purpose and value of the asset.
Recommended Car Insurance for Agawam Businesses
Your Agawam car insurance policy can be broad or narrow, depending on the choice of options you select. You can choose to cover only one vehicle or choose very broad coverage that applies to every company vehicle and every employee. You must cover cars that are used for company purposes. As a rule of thumb, you should cover all autos used in official business, including those you do not personally own or lease as a business owner.
Commercial auto insurance offers a variety of coverage for company vehicles and can be customized depending on the needs of your business. Generally, there are three essential parts of every business auto insurance policy:
- Physical damage coverage: This type of insurance includes comprehensive and collision coverage.
- Liability insurance: This type includes property damage, bodily injury, underinsured motorist coverage, and uninsured motorist coverage.
- Other coverage: Other insurance options include towing and labor, medical payments, auto loan reimbursement, or lease gap coverage.
Many insurance providers recommend purchasing auto coverage with a limit of at least $500,000. You should consider increasing your coverage limit to $1,000,000 if you operate many business vehicles or own expensive autos such as trucks or trailers.