Commercial Automobile

What is the difference between commercial and business use of an automobile?

Business Use:  If you use the vehicle as part of your occupation or profession including carrying things used on the job, that’s business use.  For instance, carrying samples or a laptop used for your business is considered business.

Commercial Use:  Using your vehicle primarily for transportation of merchandise or goods is commercial use.  Common uses under commercial would be carrying your own tools or equipment to a job site or hauling and delivery for yourself or others.

What is compulsory coverage in Alberta?

Automobile insurance in Alberta, although provided by private insurers, is highly regulated under the Insurance Act.  You must carry a minimum of $200,000 Third Party Liability and Accident Benefits.

What other coverage can I buy?

The more common optional coverages include All Perils, Collision, Comprehensive or Specified Perils.  However, there are number of standard endorsement forms that you may wish to consider depending on your needs.  Some of the more common endorsements are listed below:

SEF 13D – Limited Glass – Eliminates coverage for glass except for losses caused by specified perils such as fire, windstorm, theft or attempted theft or hail.

SEF 20 – Loss of use – Provides reimbursement of costs of a rental vehicle or alternate transportation as a result of a covered claim

SEF 27 – Legal Liability for Damage to Non-Owned Automobiles – Liability for loss or damage to non-owned vehicles, including trailers that you may rent.

How can I save money on auto insurance?

Here are a few quick tips for you…..

• Increase your deductible on the physical damage section
• Buy vehicles that are less likely to be stolen. Check out the Insurance Bureau of Canada’s annual list of top ten stolen vehicles in Canada   http://www.ibc.ca/on/auto/theft/top-ten-stolen-cars
• Hire drivers that have clean driving records.
• Consider installing Dash Cams and GPS
• Have a safety and maintenance program for your vehicles and drivers

We can give you the best advice when it comes to helping you select

the right coverage and best insurer to meet your needs.

Your Partner in Protection.