Many Las Cruces businesses use vehicles for their day-to-day operations. Whether they are used for deliveries, transporting people, or performing construction work, you are required by New Mexico law to have a certain amount of commercial vehicle insurance. What’s more, commercial auto insurance is necessary to protect your financial well-being if one of your vehicles is involved in a crash. An independent insurance agent in Las Cruces can help you find the best policy to meet your needs as well as all of the state requirements. Contact a local agent to compare quotes and make an informed choice.
Why Do I Need Commercial Auto Insurance?
Insurance companies assume that commercial vehicles are exposed to more risk than most personal vehicles. And when a company-owned vehicle is involved in a crash, liability lawsuits, property damage expenses, and loss of income are often the result. Any business that owns vehicles needs commercial auto insurance to cover the financial losses that can result after an accident.
What’s more, even if you are a small business owner who uses your personal vehicle for business purposes, you probably need commercial auto insurance to properly protect yourself in every scenario. Without it, you run the risk of your personal auto insurance claim being denied if the accident happened while driving for business purposes. New Mexico’s public roadways can be unsafe at times. Consider the following 2016 crash statistics compiled by the state.
New Mexico Crash Statistics
In recent years, there were 45,071 traffic accidents on public roadways in New Mexico. These crashes involved 114,701 people, with 20,494 people injured and 405 people killed.
- In recent years, a motor vehicle accident occurred every 12 minutes in New Mexico.
Heavy truck crashes are on the rise and were disproportionately represented in fatal crashes.
- A semi/large truck crash occurred every 4 hours.
- Accidents involving heavy trucks totaled 2,326, their highest level in five years.
- Heavy trucks were involved in 5.2% of all crashes, but 10.4% of all fatalities.
Las Cruces had the second-highest total number of crashes in New Mexico.
- There were 3,531 motor vehicle accidents in Las Cruces in recent years, or 34.7 crashes per 1,000 residents.
How Much Does Commercial Auto Insurance Cost in Las Cruces, NM?
Commercial auto insurance premiums can vary significantly from one business to the next. Rates are calculated according to a number of different factors, including:
- The number of vehicles you are insuring
- The types of vehicles you are insuring
- Whether the vehicles will be used to transport people
- Whether the vehicles will be used to transport flammable or toxic materials
- The estimated number of miles the vehicles are driven each year
- Information about the employees who will be driving the vehicles
- The amount of coverage you are purchasing
You can minimize your risk of a collision by hiring experienced drivers with good driving records, and by ensuring that your company’s vehicles are well-maintained. It is also a good idea to limit the number of hours your employees spend on the road each day to prevent problems with driver fatigue. These activities not only promote safety and help avoid accidents but also, many insurance companies offer discounts to policyholders who provide their drivers with safety education materials and training.
How Much Commercial Vehicle Insurance Does My Business Need?
Do you need to cover a single delivery car or van, several construction vehicles like dump trucks or front loaders, or an entire fleet of 18-wheel semis or passenger buses? The amount of commercial auto insurance coverage you need depends on the number and types of vehicles you own and a variety of other factors. If your business owns trucks over 10,000 pounds, you must comply with all state and federal liability insurance requirements.
The amount of liability insurance you’ll be required to purchase depends on the weight of your trucks, where they are traveling, and what they are transporting. In addition to the requirements placed on heavy trucks, all New Mexico drivers, both personal and commercial, need to have a minimum amount of auto liability insurance in order to comply with state law.
- Minimum liability insurance limits: 25/50/10; coverage up to $50,000 for all persons injured in an accident, subject to a limit of $25,000 for one individual; and $10,000 coverage for property damage
What Does Commercial Auto Insurance Cover?
All commercial vehicle insurance policies in Las Cruces provide at least the minimum liability coverage required by the state of New Mexico. Other coverage options you can consider include:
- Collision insurance: Covers the cost to repair your own vehicle after a collision.
- Comprehensive insurance: Covers the cost to repair or replace your vehicle if it is lost or damaged due to non-collision hazards such as falling objects, floods, fire, or theft.
- Uninsured motorist coverage: Provides coverage for damage and medical expenses if your employee is involved in an accident caused by an uninsured driver.
- Towing and roadside assistance: Covers the cost of assistance if your company vehicle becomes disabled while out on the road.
- Non-owned or hired auto liability insurance: Provides liability coverage for non-owned vehicles being used for business purposes, such as when you rent or lease a vehicle or when you or an employee use a personal vehicle for business purposes.
An independent insurance agent can answer questions about your options and offer quotes from multiple insurance companies, so you can get all of the coverage you need at an affordable price.
Why Work with an Independent Insurance Agent?
There is no such thing as a one-size-fits-all policy when it comes to commercial auto insurance. A business that relies on a few cars for making local deliveries will have vastly different needs than one that uses heavy trucks for interstate commerce. A local independent insurance agent can help you find a competitively priced policy that meets your state’s coverage requirements.
Contact an insurance agent in or near Las Cruces to begin comparing customized commercial vehicle insurance quotes.
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