Guide to understanding small fleet insurance

If your business relies on vehicles to keep things rolling, you should consider fleet insurance. In a nutshell, it covers multiple vehicles on a single policy. Instead of managing separate plans, fleet insurance offers a more streamlined approach that can improve efficiency and help lower costs.

What is fleet insurance?

Fleet insurance is a type of commercial auto coverage designed for businesses that own or operate several cars, trucks, vans, or trailers. By combining them all under one plan, it simplifies how you manage coverage and helps reduce paperwork and administrative tasks.

Progressive Commercial has several options for insuring multiple vehicles, depending on the size of your fleet. Start an online quote or call and speak to one of our agents to learn more.

Who needs commercial fleet insurance?

Fleet insurance coverage is ideal for businesses that rely on multiple vehicles to get the job done. A wide range of professions can benefit from fleet auto insurance, such as:

• Delivery and courier companies
• Food truck services
• Caterers
• Landscapers
• Construction companies
• For-hire livery businesses
• Vehicle rental businesses
• Plumbers
• Electricians
• Painters

How does fleet insurance work?

How fleet insurance works depends on the size of your business and the number of vehicles you have. If you have nine or fewer business vehicles, you can typically cover them all under a standard commercial auto policy from Progressive Commercial.

To meet our small fleet insurance requirements, businesses need to have between 10 and 40 vehicles. Your fleet can include a mix of cars, trucks, vans, and trailers.

For larger fleets or heavy truck operations, coverage needs can be more complex. Progressive Fleet and Specialty Programs are designed to support businesses with more than 40 vehicles or specialized trucking risks.

Types of vehicle fleet insurance coverage

Commercial auto policies always start with mandatory liability coverage. From there, you can customize your fleet insurance with extra protection for drivers, passengers, cargo, and more.

Vehicle liability insurance

Liability insurance is the minimum commercial auto coverage required by state law. It pays for injuries to others and damage to their property when your fleet drivers are at fault. Keep in mind, it doesn't cover your vehicles or drivers. You'll need separate coverage for those.

Collision coverage

Collision insurance pays for damage to your fleet vehicles resulting from a collision with another vehicle, a stationary object, or a rollover.

Comprehensive coverage

Comprehensive coverage protects you against non-collision events such as theft, fire, windstorms, vandalism, and even broken glass.

Uninsured/underinsured motorist coverage

Uninsured/underinsured motorist insurance covers medical expenses for your drivers and passengers if your vehicles are involved in an accident with someone who has little or no insurance. Coverage requirements and limits can vary by state, so check with your Progressive Commercial agent to determine your options.

Personal injury protection (PIP)

Personal injury protection insurance can pay for medical and other necessary expenses for fleet drivers and their passengers if they're in an accident, regardless of who was at fault. It can cover hospital bills, rehab, and lost wages. PIP isn't available everywhere. Some states require it, while others don't offer it at all.

Medical payments (MedPay)

Similar to PIP, MedPay covers medical expenses for you and your passengers after an accident regardless of who is at fault. Availability varies by state, and it may be required in some areas.

Rental reimbursement

Rental reimbursement with downtime is for trucks that generate income. It covers the costs of renting a replacement if yours is being repaired due to an accident. This coverage can also pay for truck payments and other bills when your truck is inoperable.

Roadside assistance

Roadside assistance covers claims for towing, winching, battery jump start, fuel delivery, and flat tire repair. Progressive Commercial also offers specialized roadside assistance for heavy trucks in most states.

Goods in transit insurance

Some fleet insurance plans can include this coverage. Goods in transit insurance covers business-owned goods while being transported domestically.

Key benefits of fleet insurance

Fleet insurance is a streamlined way to manage your business vehicles. You can enjoy many benefits, including:

• Administrative efficiency: One policy, renewal date, and point of contact help save time and reduce paperwork.
• Flexibility: Add or remove vehicles to the lineup as your business changes without needing separate policies.
• Cost savings: Insuring a fleet of vehicles under one policy can lower your overall cost per vehicle. Progressive Commercial also offers potential savings through programs like Snapshot ProView® or Smart Haul®.
• Risk management: Consistent protection across your fleet makes it easier to understand and manage your overall risk.
• Customizable coverage: Choose the protections that fit your business with options like liability, collision, comprehensive, and roadside assistance.

Factors that influence the cost of fleet car insurance

Understanding what drives your insurance premium helps you manage your costs effectively. Factors that can impact your rate include:

• Number and types of vehicles in your fleet: More vehicles or high-value models generally increase premiums.
• Driving history: A clean driving record can help lower your rate. Insurers usually check the past three years of driving history for everyone listed on your fleet policy.
• Safety features and guidelines: Adding telematics and GPS tracking to your vehicles, as well as offering driver safety training, can help reduce insurance costs.
• Type of business: Industry and vehicle use can impact your premium based on risk level. For example, a delivery business with a local route might have a lower rate than a long-haul shipping company.

Get fleet insurance through Progressive Commercial

If you use vehicles for your business, fleet insurance can give you streamlined convenience, flexibility, and protection to help drive your success. As the #1 commercial auto and truck insurer in America,^§ Progressive Commercial offers flexible coverage options, exceptional customer service, and competitive rates. Speak with one of our small fleet insurance experts to learn more or start a customized quote online today.