Every business in Hawai’i uses automobiles, whether they belong to the employees or the business itself. Every business can be adversely affected if those vehicles are involved in an accident.
What Is Commercial Auto Insurance?
Commercial auto insurance is a type of insurance policy that helps cover vehicles used for business purposes such as cars, trucks, and vans. Whether you own, maintain, store, or operate vehicles, Commercial auto insurance covers vehicle damage and driver injuries as well as injury to other drivers, pedestrians, and property. This form of insurance is essential if you have drivers and company vehicles within your business and can save you thousands of dollars in injuries or damages in the event of an accident. Our plans cover all types of vehicles that are licensed for public roads, ranging from cars to trucks to buses.
Commercial auto insurance consists of the following:
Auto Liability
Commercial auto liability coverage protects policy owners for bodily injury or property damage to third parties caused by the negligent operation/ownership of the vehicle.
No-Fault Coverage
No-Fault coverage pays for first-party benefits for vehicle operators and passengers who have been in an automobile accident without regard to fault or negligence, up to a certain amount. In exchange, the law limits the injured person’s right to sue, except when the injuries exceed the specified threshold.
Comprehensive Coverage
Comprehensive coverage can help policy owners pay for vehicle damages caused by vandalism, animal-related accidents, damages caused by the weather, and other perils not otherwise excluded. This coverage is especially important for vehicles in Hawai’i, as there is a much greater risk of vehicle damage due to natural disasters compared to other states.
Collision Coverage
Collision coverage pays for damage to the policyholder’s vehicles that have been overturned or in an accident with another vehicle or stationary object such as a tree or divider. Given Hawai’i’s dense traffic and limited road infrastructure in some regions, collision coverage can be a key financial safeguard for commercial vehicles.
Industries Served
Here at Atlas, we understand that no two businesses are the same. Your insurance policy needs to be customized, ensuring you receive coverage while also maintaining compliance. For a breakdown of policies based on your respective industry, click the button below to learn more.
Who Needs Commercial Auto Insurance From Atlas Insurance Agency, A Marsh & McLennan Agency LLC?
Commercial auto insurance is necessary for any business owner who utilizes vehicles to further their business. Even if the business does not have direct title to the vehicles, like when an employee uses their own vehicle to run an errand to the bank, the business could still be held liable.
Get Complete Commercial Auto Coverage
Atlas Insurance Agency, A Marsh & McLennan Agency LLC is the largest insurance company in Hawai’i, providing hundreds of business clients with auto coverage. Reach out to the commercial auto insurance specialists at Atlas Insurance today to get a free quote and learn more about your business’s unique insurance needs.
Common Questions We Hear Regarding Commercial Auto Insurance
Is commercial auto insurance required in Hawai’i?
Yes, if you own or operate vehicles for business purposes in Hawai’i, you are legally required to carry commercial auto insurance. The state mandates minimum liability coverage for bodily injury and property damage, and vehicles must also carry Personal Injury Protection (PIP). Driving a business vehicle without proper coverage can result in fines and license suspension.
What are the minimum commercial auto insurance requirements in Hawai’i?
Hawai’i law requires the following minimum liability coverage:
$20,000 bodily injury coverage per person
$40,000 bodily injury coverage per accident
$10,000 property damage coverage per accident
Additionally, Hawai’i requires at least $10,000 in PIP coverage per person for medical expenses, regardless of who is at fault in an accident.
Note: These limits may not be satisfactory for all businesses. Higher limits are usually recommended, especially if your business has multiple vehicles or transports goods or people, due to increased exposure.
Does commercial auto insurance in Hawai’i cover rental or leased vehicles?
It can, but doesn’t always. Many commercial auto policies in Hawai’i offer coverage options for rented, leased, or employee-owned vehicles used for business purposes. Be sure to ask about “hired and non-owned auto” coverage, which can help protect your business if you or an employee rents a vehicle or uses a personal car for work.
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