Many businesses have a dedicated public transport department to facilitate their people, guests, and operations. Other companies specialize only in providing public transportation services to people and organizations. So, it’s no surprise that the public transportation industry is booming, estimated to be worth $80 billion.
Vans, commercial cars, buses, pick-up trucks, etc., come under this domain. Often these transport vehicles carry valuable goods belonging to businesses or act as 3rd party transport service providers. However, the risk of accidents is always high in this industry.
Moreover, these vehicles are vulnerable to many perils like road accidents, damage, and thefts. These risks can cost a considerable amount, and the consequences can be a substantial financial burden.
For businesses to avoid such unfortunate events, they should proceed to add an insurance plan that is specifically designed to provide financial coverage for public transportation.
What Is Public Transport Liability Insurance?
By 2025, the United States authorities have predicted that 7,117 road accidents will happen per million people. So, there are high chances that your vehicles can be a part of an unfortunate accident, which can cost the establishment that owns them significantly.
If you run a public transport company, the passengers and owners of dispatched goods can sue your business for many reasons. Moreover, your vehicle is also at risk of damage.
Public liability insurance is the right step to ensure the well-being of your commercial vehicles.
Why Is Public Transport Insurance Important?
If the transport vehicle gets into an accident by any unfortunate means, the employees or workers can file a lawsuit against you. These lawsuits can end in many ways, so it is better to have insurance that covers the damages to goods or pays for the medical bills of injured people. Public transport insurance comprises multiple insurance policies to ensure maximum coverage.
Moreover, your public transport vehicles are not cheap, nor can you buy them frequently. Their repairs are also a considerable expense. Public transport insurance gives financial coverage for repairing or even replacing a vehicle.
How Does Public Transport Insurance Benefit Your Business?
Many businesses depend on daily transportation to move their goods from one place to another, or they use vehicles like commuter vans or public buses to transport their employees.
As we said above, public transport insurance consists of many insurance policies to cover most financial damages. The following are the types of insurance policies that public transport insurance offers.
1. Liability Insurance
Like regular liability insurance, it will cover the expenses if your vehicle gets into an accident and it causes damage to the goods or injures the people. The liability insurance policy will cover the damaged goods and pay for the medical bills for the injured people.
However, liability insurance does not give coverage to the policyholder, meaning if you were driving a vehicle and got into an accident, then the policy will not cover your medical bills; for that, you should have personal insurance. Liability insurance will only provide coverage to claims made by third parties.
2. Collision Coverage Insurance
Collision coverage insurance provides coverage for the damages or a replacement when your vehicle gets into an accident with another vehicle, hits objects like fences or trees, or the driver loses control of the vehicle and flips and rolls over.
It does not cover your medical bills, the damages for thefts, or the damage caused by other vehicles. If the car is destroyed or totaled, then the insurance will pay for the replacement of the car.
The price is accumulated by calculating the vehicle cost and subtracting it from the depreciation amount. It’s unlikely that the amount itself will be enough to buy a new vehicle, but it should be enough to assist you in purchasing a new one.
3. Comprehensive Coverage Insurance
This insurance policy covers the leftover expenses by collision coverage. Unlike the collision coverage, this insurance policy covers damages and repairs caused by less common circumstances like natural disasters, thefts, road kills, animal damage, fire, and civil unrest like riots and protests.
However, it does not cover medical expenses or damage to your or other vehicles, as collision and liability insurance policies already cover them.
4. Medical Coverage Insurance
Medical bills are always costly. If your vehicle gets into an accident and injures a passenger, their medical bills can be massive. Most accidents result in major or minor injuries, resulting in substantial hospital bills.
Medical coverage insurance covers all the medical expenses of the injured person and pays for their hospital charges.
Get Your Public Transport Insurance With John M Glover Insurance Agency
You can get the best coverage for your public transport insurance needs at John M. Glover insurance Agency. We have all the necessary insurance plans to help you financially secure your assets and people traveling with your public transportation services. Contact us today or visit our website to give us a call.