Commercial Auto Insurance
Commercial auto insurance is essential for businesses in Texas that rely on vehicles for their operations. Having the right coverage can protect your business from significant financial losses after a vehicle-related accident or incident. 
Your agent may recommend the following key coverages:
- Liability coverage may help cover bodily injury and property damage that your business vehicle may cause to others in an accident. It helps ensure you can handle legal fees and compensation claims without financially damaging your business.
- Physical damage coverage includes collision and comprehensive coverage. Collision insurance pays for damages to your vehicle resulting from a collision with another vehicle or object. Comprehensive insurance may help cover non-collision-related damages, such as theft, vandalism or natural disasters.
- Uninsured/underinsured motorist coverage may help financially protect you if your business vehicle is involved in an accident caused by a driver with insufficient or no insurance.
- Hired and non-owned auto insurance may be appropriate if your employees use their personal vehicles for business purposes. This coverage can protect your business from liability in case of an accident.
Factors Affecting Premiums
Several factors influence the cost of commercial auto insurance in Texas, including the following:
- Type of vehicles—Larger and more expensive vehicles typically cost more to insure.
- Usage—The more your vehicles are on the road, the higher the risk and the premium.
- Driving records—Clean driving records for your drivers can help lower premiums.
- Location—Urban areas with higher traffic and accident rates may result in higher premiums.
- Coverage limits—Higher coverage limits provide more protection but also increase the cost.