Commercial Auto Insurance

Contract Auctioneers
Business Models


Larry Harb: 

Commercial Auto. How many of you insure—well, let me ask this question. How many of you have your name on the side of your vehicle or on the trailer? Okay, now, all of you keep your hands up a second. How many of you have commercial liability when you do that? Commercial auto coverage? Yeah. And that’s where it should be, okay? ‘Cause when you put your name on the side of the truck and the trailer, do you know what everybody thinks? You’re rich. Okay? And you become a target. Why? Because now they’re not just suing you as an individual, they’re suing you as a business owner and they’re suing the business too. So, when you put your name on the side of the truck, I want it insured as a commercial vehicle. Now, most auctioneers don’t do that. Most auctioneers insure their vehicles personally. Why? It’s cheaper. Why is it cheaper? ‘Cause you buy lower rates. Okay? It’s just that simple. It’s a cost thing. But the problem is, is that you’re insuring a vehicle as a personal vehicle and you’re using it for business. So, now you have a claim and unless you’ve told your carrier, your insurance company, that that personal vehicle is used for business, they may deny that claim. So, something to think about.