Professional car services remain as prevalent as ever with people of all walks of life choosing to ride in limos for travel, airport transport, and special occasions. However, limo services face certain risks that could impact their ability to continue normal operations. For this reason, it is critical for limo services to possess limo insurance.
Limo insurance is a type of livery insurance coverage designed to protect limousine drivers whose job it is to transport customers on a for-hire basis. This differs from public transportation services like taxis as limo businesses typically only offer pre-scheduled transport.
As accidents can happen at any time, professional car services require limo insurance coverage to avoid the financial repercussions of a lawsuit or liability issue.
If your professional car service hires drivers, then you need limo insurance coverage to keep your business safe from liabilities. In many states, limo insurance is required if you provide any for-hire transportation services. These regulations generally require limo businesses to maintain coverage for bodily injury and property damage, as well as other standard coverages like workers’ compensation and employment liability.
Like many other types of business insurance policies for professionals, limo insurance can be customized to meet the unique needs of your company. No two limo businesses are the same. Some are larger with more drivers while others are family-owned with just a couple of drivers. In addition, limo businesses may possess different sized fleets of vehicles which can affect the price of a limo insurance policy.
When comparing limo insurance policies, it is important to consider the unique needs of your business and customize a policy based on your budget and liability requirements.
What Limo Insurance Coverage Provides
Customers turn to you for professional, reliable transportation services, whether it is to get to their hotel after flying to the airport or to arrive at a sophisticated party in style. When problems occur, you want to ensure that you are able to address them quickly and efficiently. Limo insurance can be useful when dealing with all types of issues, such as car accidents, property damage and bodily injury. Without coverage, you leave your business open to costly liability claims.
Here is a look at some of the areas generally covered by limo insurance.
Personal Injury Liability
Personal injury liability coverage provides limo businesses with coverage for bodily injury and property damage that is sustained by others. This type of insurance only covers injuries or damage that you or a staff member is found legally responsible. Personal injury limo insurance will typically cover a victim’s medical bills, lost wages, rehabilitation costs, and, in the case of death, funeral expenses. By acquiring a personal injury liability policy, you can protect your financial interests and avoid the high costs associated with attorney fees and settlements. While businesses of all sizes require injury liability coverage, small businesses are particularly vulnerable to these expenses.
When dealing with any type of expensive investment, such as a vehicle, it is critical to keep it protected. Property damage coverage can cover property damaged during any type of incident or accident that causes costly damage to property. With property damage liability coverage, your insurance company will pay for the damage done to someone else’s property. For example, if one of your drivers runs a stoplight and collides with another vehicle, property damage liability coverage would typically cover the value of the property. It may also cover legal defense fees if you are sued as a result of the accident.
Employment liability coverage protects business owners from potential lawsuits that could arise due to workplace injuries. If an employee suffers any type of work-related illness or injury, the incident is usually covered under workers’ compensation insurance. However, there may be cases in which an employee sues for an amount that is not adequately covered by workers’ compensation alone. If an employee’s illness or injury is found to be caused by an employer’s negligence, the employer may be responsible for certain costs of a lawsuit. With employment liability coverage, you can protect your company from these types of expenses.
Work with the Specialty Insurance Experts
While the professional car-for-hire business can be highly lucrative, it also comes with some serious risks. As a business owner, you want to do everything you can to protect your business and also your drivers and assets. Limo insurance is there to protect both your livelihood and the people that may suffer losses when your limousine causes an auto accident.
As not all limo insurance policies are the same, you will want to speak with a knowledgeable insurance expert to determine which type of coverage is best for your unique needs. Contact the specialty insurance professionals at John M Glover to learn more about limo insurance or to acquire a policy.