Commercial Car Insurance
Commercial car insurance is a mandatory requirement in Singapore; a business or company that runs their day to day operation with a company vehicle will have to purchase a business car insurance. A standard car insurance covers the car for personal and social uses. This includes visiting friends, travelling to shopping centres and transit to and forth from a regular workplace. On the other hand, a commercial car insurance covers the commercial vehicle for business use which includes travelling to different worksites to meet different clients and transportation of commercial goods or materials.
When To Purchase Commercial Car Insurance
When should you purchase a commercial car insurance? This decision can be a headache to some as they may argue they seldom use the vehicle for business purposes. We recommend to get a commercial car insurance when you use your automobile for work including and not limiting to:
- Using your vehicle for work related tasks
- Regularly commuting to different work sites
- Using your vehicle as a medium to fetch passengers
Most people have the misconception that commercial (business) cars are big vehicles. Under certain circumstances, insurance companies can classify regular vehicles such as cars, minivans and pickup trucks as commercial vehicles. A simple guideline to follow is “know the intended uses of the vehicle” if the use is for business and commercial purposes, the vehicle requires a business car insurance. If you are uncertain whether you need a commercial car insurance, you should drop us an enquire and let us assist you.
Why Purchase Commercial Car Insurance
Companies purchase the business car insurance to enjoy the additional tailored coverage catered to the use of the business vehicle. More importantly, it is an offence claiming under personal car insurance for the vehicles used for business. This may result in an invalid claim and cancellation of the car insurance policy.
Benefits of Commercial Car Insurance
Many businesses purchase the commercial car insurance to enjoy the extended benefits should a need for a claim arises. These benefits include claims eligibility to having extended cover for the business related tasks and above all having a peace of mind.
- Claims Eligibility - Without a commercial car insurance, car insurance companies have the right to reject your accident claims on your commercial vehicle.
- Customised Coverage - A proper business car insurance covers the specific work activities which involve the business car.
- Peace of Mind - Most importantly, it gives the owner a peace of mind without having to worry about the unforeseen events.
How To Purchase A Commercial Car Insurance
Purchasing a commercial car insurance may be a tedious task as one must go through a bundle of paperwork written in technical terms. Filling up the details incorrectly may result in an invalid claim when the need arises. Typically, the steps involve are:
1) Gathering All Required Information
You will have to provide the following information (not limited):
- Company Information such as your company name, nature of business, and business registration number.
- Car Information such as the make and model, car plate number.
- Your Driving History – Were you involved in any car accidents in the past 3 years?
- When and Where is the vehicle utilise?
- What is the vehicle main usage?
2) Submit Filled Up Forms For Quotation
For quotation purposes, you have to transfer the gathered information to the fact-finder form. If information is lacking, the insurance companies may request for more details. This may delay the entire quotation process.
3) Compare Quotations
Finally, after receiving the quotation, you have to skim through the entire documents to find the one that best suits your company’s needs and budget. The easier method is to engage us to assist you; we can help you with the entire process and land you with the best suited commercial car insurance.