Commercial auto insurance in Maine

Any Maine company that uses vehicles for business purposes must insure them appropriately.

Commercial auto insurance covers vehicles owned by your business. If your business-owned vehicle was involved in an accident, it would help pay for medical bills, legal fees, and other related expenses.

Any vehicles you own solely for work purposes must be covered by a commercial auto insurance policy, whether you own a landscaping pickup, a food truck, or a fleet of pickup trucks.

A business auto policy is more extensive than a standard commercial auto policy. It covers all vehicles used by a business, whether they’re owned by the company, leased, or owned by employees.

If you’re using your own vehicle for work-specific activities, your personal auto policy wouldn’t cover you in the case of an accident. That’s why many small business owners purchase hired and non-owned auto insurance (HNOA). This policy covers accidents involving personal, leased, and rented vehicles used for work purposes.

Your personal auto insurance policy covers you while driving to and from work, but not while making deliveries, picking up supplies, and other work-specific uses.

For example, if you or an employee gets into an accident while driving a personal car for a work errand or traveling to a job site, your HNOA coverage would help pay for any claims or lawsuits against your business.

It's worth noting that this type of insurance would not cover damage to the vehicle used by your business.

Without commercial auto insurance coverage, your business could be in legal and financial jeopardy. In accordance with Maine state law, all vehicles are required to carry auto liability insurance.

If one of your business vehicles is at fault in an accident, you could face an expensive lawsuit or settlement. You’d likely have to pay for damage to the other vehicle or property, medical costs, lost wages, pain and suffering, plus other related expenses.

Additionally, you could face severe penalties for not carrying auto insurance. Driving without insurance in Maine could result in a fine between $100 to $500, as well as a suspension of license and registration until proof of insurance is provided.

All vehicles in Maine are required by law to have a minimum amount of auto liability insurance coverage, whether they’re for personal or business use.

These liability limits are:

• $50,000 per person bodily injury liability
• $100,000 per accident bodily injury liability
• $25,000 property damage liability
• $50,000 per person uninsured motorist coverage
• $100,000 per accident uninsured motorist coverage
• $2,000 per person medical payments coverage

Your insurance agency might recommend higher liability coverage limits based on the types of vehicles you own and how they’re used.

Semi-trucks, utility and cargo trailers, and other vehicles with a Maine Department of Transportation serial number will have additional liability coverage requirements, depending on the kind of vehicle and how it’s used.

You can see if your business needs to meet these additional requirements by checking your USDOT number or docket number with the Federal Motor Carrier Safety Administration (FMCSA).

Insureon makes it easy for Maine business owners to get affordable commercial auto insurance. Complete Insureon’s easy online application today to compare insurance rates from top-rated U.S. carriers and car insurance companies. You can also consult with an insurance agent on your business insurance needs.

Once you find the right type of coverage for your small business, you can get a certificate of insurance in less than 24 hours.