Whether you own a company car or your employees drive their own vehicles for business purposes, NH commercial auto insurance is a necessity to ensure your company's assets are protected. Though state law does not require auto insurance, a commercial auto policy can provide protection against damage to your company's vehicles and lawsuits stemming from injury and property damage of others. Because auto insurance is an expense, it is critical to ensure you have the right coverage, but take advantage of every possible cost saving strategy and discount available.
How to save money on your NH Commercial Auto Insurance
Much like personal auto coverage, business auto insurance in NH has a wide range of coverage options and prices with many insurance companies claiming the lowest premiums. To take advantage of these lower rates, here are the top 9 ways to reduce your commercial auto insurance bill:
1. Check driving records - In NH, as an employer you do have the right to request the driving records of those employees who will be driving a vehicle as part of their job description. Your premiums will, in part, depend on the driving records of those employees so the safer the drivers you hire, the lower your premium.
2. Enforce safe driving habits - The fewer claims you make on your insurance, the less you will have to pay for the commercial auto policy. One way to reduce the chance of an accident is to teach and enforce safe driving habits. Establish a zero- tolerance policy on unsafe habits such as texting and talking on the phone while driving. Also allow enough time between jobs for your drivers to arrive safely. Schedules that are too tight will only encourage speeding and hence increasing the likelihood of a claim.
3. Consider requiring commercial licensing - If driving is a main function, hiring drivers with commercial drivers licensing may reduce your premiums. Insurance companies often consider these drivers to be more skilled and therefore lower the probability of an accident and claim.
4. Contact an Independent Insurance Agency- Premiums can vary significantly between insurance companies. By going through an independent insurance agency, they have the expertise to find your business the best rate and coverage options allowing you to do what you do best - running your company.
5. Bundle commercial auto insurance with other policies - Using the same company for a commercial auto policy, a business-owners policy and/or a workers compensation policy can provide significant bundling discounts on each policy.
6. Ask about discounts - Some insurance companies have discounts if you pay in full while others if you set up electronic fund transfer. Ask to hear about your payment options to determine what makes sense for you. Some companies allow credit card payments which can add to a beneficial rewards program offered by your credit card company.
7. Invest in off-street parking - Parking your company vehicles in a secure garage or location rather than on the street or in an open lot can reduce the likelihood of a claim and hence keeping your commercial auto premium lower.
8. Consider a higher deductible - Deductibles can be part of the coverage that protects your company's vehicles but there are deductible options. The higher the deductible, the lower the premium will be; however make sure you have the cash flow to cover the deductible you choose should you need to pay it. It is also important to get a quote on the deductible options because you would hate to learn that you saved $20 in premium but had to pay $500 more out of pocket when a claim occurred.
9. Customize your policy - Work closing with your insurance agent to describe the way in which you use your company vehicles. Your agent can advise you on the coverage you need the most and help you eliminate the coverage you may not.
When you own commercial vehicles you are investing in your company. Purchasing NH commercial auto insurance is a way to protect that investment while having the knowledge on how to save money shields both your business and the bottom line.
This material is for informational purposes only. All statements herein are subject to the provision, exclusions and conditions of the applicable policy or state laws. For an actual description of all coverages, terms and conditions, refer to the insurance policy, the Department of Labor and/or the Affordable Care Act for updated requirements.