Best Commercial Auto Insurance

We found that Acuity, Auto-Owners, Axis, Federated Insurance, The Hartford, Nationwide and Sentry are the best commercial auto insurance companies. Each scored five out of five stars in our analysis.

We evaluated 28 large business insurance companies based on complaint data from the National Association of Insurance Commissioners to help you find the best options.

Our top seven picks all have low complaint ratios and customizable coverage to fit your business needs. If you need a commercial policy, consider these highly rated insurers.

What Is Commercial Auto Insurance?

Commercial auto insurance is a form of small business insurance for vehicles used for work purposes. It provides liability insurance and can also include other coverages for the vehicle, driver and passengers. It’s necessary because personal car insurance typically won’t cover an accident you (or an employee) get into while driving for business.

Commercial auto insurance can cover everything from company cars to food trucks to delivery vans.
What Does Commercial Auto Insurance Cover?

Here’s a look at the types of coverage available with commercial auto insurance:

Property damage liability pays for damages to another person’s property, such as their car, when you are at fault in an accident.
Bodily injury liability pays for the injuries you cause another person when you’re responsible for an accident.
Combined single limit (CSL) offers one limit for property damage claims and bodily injury claims.
Collision insurance pays for damage to your business vehicle when it hits another car or an object, such as a pole.
Comprehensive insurance pays for damage caused by weather, fire, falling objects (such as tree branches) and other problems. It also covers vehicle theft.
Medical payments and personal injury protection (PIP) pay for the cost of medical care for you and your passengers, no matter who was at fault.
Uninsured motorist coverage pays for your and your passengers’ injuries if your vehicle is struck by an uninsured driver.

Do I Need Commercial Auto Insurance?

If you are driving a vehicle for business purposes, you will need commercial auto insurance. Your personal car insurance policy won’t pay a claim if you get into an accident while driving your car for work.

Here are some examples when you need a commercial auto insurance policy:

The vehicle is solely used for work (for example, a company car).
You transport goods or people in your vehicle.
You transport tools or equipment in your vehicle.
Your employees drive your business vehicle.
The vehicle is owned by the company.
You conduct a business service with your vehicle.

Related: How commercial auto insurance works
How Much is Commercial Auto Insurance?

The average cost of commercial auto insurance is $147 per month, according to Insureon. More than a third (37%) of Insureon customers pay less than $100 per month, about a quarter (26%) pay between $100 and $200 per month and 37% pay more than $200 per month for commercial auto insurance.
Factors Impacting the Cost of Commercial Auto Insurance

Here’s a look at the pricing factors for commercial auto insurance.

Company Business

The type of business you run impacts the commercial auto insurance rates that you’ll pay. If you mainly work at your office, you’ll pay less than someone who carries tools and equipment in a work van and makes customer calls all day.

Coverage Choices

Your coverage choices and insurance limits impact your rate.

Driving History

Drivers with good driving records are rewarded with better rates.

Location

If you work in a bigger city, expect to pay more for your commercial auto insurance than a business that operates in a small town. Drivers in areas with low accident frequency and few car thefts pay less.

Mileage

How much you typically drive a commercial vehicle impacts rates.

Vehicle

The type and size of the company vehicle affect the insurance rate.
50 Largest Commercial Auto Insurance Companies by Market Share

Below is a ranking of the largest sellers of commercial auto insurance.
Rank Company Market share
1

Progressive

15.56%
2

Travelers

5.25%
3

Liberty Mutual

3.87%
4

Old Republic Insurance

3.78%
5

Zurich

2.96%
6

Berkshire Hathaway

2.86%
7

Nationwide

2.76%
8

Auto-Owners Insurance

2.65%
9

Allstate

2.17%
10

Chubb

2.16%
Source: S&P Global Market Intelligence, based on 2022 direct written premiums
Methodology

We evaluated 28 companies based on commercial auto insurance complaints made to state regulators in 2021. We used complaint data from the National Association of Insurance Commissioners. Each state’s department of insurance is in charge of logging and monitoring complaints against companies operating in their states.