Commercial auto insurance
Our commercial auto insurance provides coverage options to help protect you and your employees when you’re on the road for business.
What is commercial auto insurance?
Commercial auto insurance covers the company-owned or leased vehicles you use for business. It can help pay the cost of repairs, legal fees in certain circumstances and medical bills when there’s a covered accident involving you or one of your drivers.
State Farm® offers coverage for a variety of vehicle types including cars, pickup trucks, box trucks, flatbeds, farm vehicles and vans.
Who needs commercial auto insurance?
If you or your employees drive for business, you could want commercial auto insurance. State Farm often covers vehicles used by:
- Artisan and service contractors
- Farmers and ranchers
- Florists
- Caterers
Contact a State Farm agent to see how commercial auto insurance can work for your business.
Drive Safe & Save® Business
Join Drive Safe & Save Business for an easy way to manage your employee drivers’ behaviors and help them build safer driving habits.
What does commercial auto insurance cover?
You can choose from a range of commercial auto insurance options to best fit your business needs including:
Liability coverage
Pays another party's medical expenses, vehicle repairs and property damage if you were at fault for the covered accident
Personal injury/medical payments coverage
Helps pay medical and funeral expenses if an insured person is injured or killed in an accident
Collision coverage
Helps pay to repair or replace a covered vehicle if it’s damaged in a collision with another vehicle, object or a rollover
Comprehensive coverage
Helps pay to repair or replace a covered vehicle if it’s damaged by something other than a collision, including theft, glass claims or hitting an animal
Uninsured & underinsured motorist coverage
Helps pay for medical expenses, pain and suffering, and lost wages. It may also help pay for your property damage when another (at-fault) driver hits you and doesn’t have enough insurance or doesn’t have insurance at all
Employers’ non-owned and hired car coverages
You may also want to consider employers’ non-owned and hired car coverages if your employees use their own vehicles for your business or if vehicles are hired, leased or loaned for short-term business use. Coverages and availability may vary by state.
Learn more about employers' non-owned and hired car coverages
Coverage in action
Let’s say you or your employee has a minor fender-bender while driving a company vehicle for business. A commercial auto insurance policy could help cover the repair costs, medical fees and more.
Loss control services and resources
Many commercial auto losses are preventable. Check out our free resources to help you identify and mitigate some common causes of business and commercial auto losses.
Frequently asked questions about commercial auto insurance
The type of vehicle and business use determines which insurance you’ll want to consider.
Commercial vehicles are trucks and utility vehicles used for the delivery or transport of goods and materials or are designed for a specific business purpose. Commercial auto insurance helps protect businesses from major financial losses due to accidents, damage, theft or other incidents involving their commercial vehicles.
Business auto insurance generally refers to insurance coverage for private passenger vehicles used primarily for business-related activities. This can include vehicles owned or leased by a business and used by employees. Business auto insurance may also cover personal vehicles used for business purposes, like a salesperson using their personal car for client visits.
Talk to your local State Farm agent to determine the most suitable coverage for your specific business needs.
Insured parties typically include the business or organization that owns the vehicles and employees or drivers who are authorized to operate the vehicles. Some third parties, such as additional insured, lessors and lienholders, may also be covered. The specific individuals covered may vary depending on the policy terms.
Review your policy documents or ask your local State Farm agent for information about who is insured under your commercial auto insurance policy.
Yes, commercial auto insurance is legally required in most states for businesses that use vehicles as part of their operations. Requirements may vary depending on where the business is located. Generally, businesses must carry a minimum level of liability insurance to protect against any potential damages or injuries caused by their vehicles.
The number of vehicles used by your business, their value, how much they’re driven and your industry will determine what you’ll pay for commercial auto insurance.
Your local State Farm agent can help you create the right coverage plan at the right price for you
These items, and any equipment that is not permanently attached to the vehicle, would typically be covered under a commercial inland marine policy and subject to the deductible carried on that policy.
Talk to your local State Farm agent to help you determine the most suitable coverage for your specific business needs.
Get a local agent who gets you
There’s a State Farm agent nearby ready to offer personalized service to fit your specific needs.
Simple Insights®
Looking for ways to help keep your small business running smoothly? You’ve come to the right place. Articles from Simple Insights draw on over 100 years of State Farm knowledge.
Prices are based on rating plans that may vary by state. Coverage options are selected by the customer, and availability and eligibility may vary.
This is only a general description of coverages of the available types of business insurance and is not a statement of contract. Details of coverage, limits, or services may not be available for all business and vary in some states. All coverages are subject to the terms, provisions, exclusions, and conditions in the policy itself and in any endorsements. Contact a State Farm agent for more information and a customized quote.
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