(800) 253-1482Commercial Auto Insurance in Missouri
Summary: Whether you're delivering goods, visiting clients, or transporting tools, your business relies on vehicles to stay moving. That’s why having the right protection isn’t just a smart move, it’s the law in Missouri. Commercial auto insurance is required when driving for business purposes, and it’s a vital part of keeping your operations covered. Learn more about the coverage options available and how small businesses in MO can get protected without overpaying. Estimated Read Time: 13 mins
No matter how your enterprise operates, if you’re on the move, the right coverage is essential. Commercial auto insurance isn’t just an important part of protecting your business, it’s a requirement when traveling in a vehicle for commerce, according to Missouri state law. Learn more about which coverages best fit your industry, and small businesses can protect themselves for less.
What Is Commercial Auto Insurance in Missouri?
Commercial auto insurance protects vehicles that are being used for business purposes. This is a specific type of business insurance that is not only required by Missouri state law, but it’s also an essential safety net.
While you may only think of commercial car insurance policies covering large company trucks or fleets or vehicles for corporations, every vehicle on the road conducting business needs coverage.
For example, if you’re a salesman using your own personal vehicle, but at the time of your accident, you’re heading to a client, your personal auto insurance won’t cover you.
Fortunately, no matter your industry, the type of vehicle you drive, or what risks you face, there are coverages available to help you cover commercial incidents should they happen.
How Much Is Commercial Auto Insurance in Missouri?
Several factors influence the cost of commercial auto insurance in Missouri, including the industry you're operating in, the type of vehicles being used, your location, your driving history, and much more.
For example, if you're a contractor hauling equipment daily, expect to pay a higher premium than office-based businesses running the occasional errand. If you have a basic delivery vehicle, expect lower premiums than a heavily outfitted work van or a heavy truck.
If your company has a history of getting into accidents and filing claims, you'll also pay more for insurance, or if you drive in a place more prone to accidents, such as Kansas City, versus a more rural part of the state, expect to pay more.
Weather can play a factor, the amount of coverage you purchase, statewide marketing trends...the list goes on and on.
Overall, if you are riskier to insure, you'll pay more for commercial coverage, but if you have fewer risk factors, expect to pay less.
Each commercial auto insurance company is going to assess your risks differently and, as a result, expect to find different rates, even for the same level of protection. This is why it's important to always compare your options before enrolling.
Here at Freedom Insurance Group, we work with several top-rated commercial carriers that help small businesses protect their vehicles for less.
Compare commercial car insurance near you by contacting one of our agents at the number above or by using our free, no-obligation tool for a quote below:
Do I Need Commercial Auto Insurance in Missouri?
In Missouri, if your business involves vehicles for work—whether for deliveries, transporting goods or passengers, or employee use—you likely need auto insurance for commercial vehicles.
Personal auto policies usually don’t cover business activities. Any company-owned vehicle, regardless of size, must have coverage.
Furthermore, if employees drive company vehicles, auto insurance for commercial vehicles is required.
Even if you or your employees use personal, leased, or rented vehicles for work, standard policies may not cover accidents, making Hired and Non-Owned Auto Insurance (HNOA) a smart option.
Ensuring proper coverage protects your business from liability and unexpected costs. If your operations involve frequent driving for work, it's best to confirm with an insurer that you have the right policy in place.
Commercial Auto Insurance vs. Personal Auto Insurance
It's easy to assume personal auto insurance has you covered when conducting business, especially when using your own vehicle, but that’s not always the case.
Personal policies typically exclude business-related driving, which means if you get into an accident while making deliveries, transporting tools, or visiting clients, you could be left paying out of pocket.
Commercial auto insurance polices are designed specifically for business use, offering higher liability limits and coverage for vehicles used on the job.
Both types of coverage will protect you from property damage and liability, but the key is how they do it.
It's all about intent, and if you're using a vehicle for personal use, you need a personal auto insurance policy. When driving a commercial vehicle or conducting business, commercial coverage is the way to go.
From running a small online delivery across town to managing a fleet of 18-wheelers and everything in between, any form of commerce requires a commercial car insurance policy.
Trucking Insurance
Commercial truck insurance protects larger trucks from a range of perils while conducting business. It doesn't matter if you're an owner-operator, a for-hire motor carrier, or a private hauler; your policy helps cover damage to cargo, risks involving liability, and, of course, accidents.
These policies are very similar to auto but focus on larger trucks specifically and which have their own requirements depending on size and industry. To learn more about commercial truck insurance in Missouri , contact one of our agents or click the link to stay protected and operational.
Small Business Fleets
Business vehicle insurance can cover your fleet, no matter the size, and by covering multiple vehicles at once, you can even unlock discounts. From dozens of sprinter vans to a handful of work trucks, finding the right protection makes all the difference.
Contractors
From carpenters to HVAC technicians to roofers and more, if you’re a contractor on the go, having the right commercial car insurance policy is necessary to protect you while traveling to and from job sites or conducting other forms of business.
Uber, Lyft, and Other Ridesharing Services
Driving for Uber or Lyft is a great side hustle, but personal auto insurance won’t cover accidents while transporting passengers. Rideshare insurance protects you with liability coverage, vehicle protection, and uninsured motorist coverage, helping you avoid costly out-of-pocket expenses or policy cancellation.
Food Delivery
Similar to driving for a rideshare service, food deliveries also require commercial auto insurance policies. In Missouri, there are several scenarios in which this could apply, from delivering pizza to working for a service, such as Uber Eats or DoorDash. No matter what, a personal policy won’t cut it after an accident.
Sole Proprietors
If you're a sole proprietor using your vehicle for more than just commuting, which includes delivering products, transporting tools, or visiting clients, you need commercial auto insurance. Personal policies often don’t cover business-related driving, leaving you at risk of liability.
Food Trucks
From humble tacos bursting with flavor to the next wave of the fusion, foodie culinary wave, the Show Me State loves its food trucks. However, operators need to secure business auto insurance to cover them while on the road and serving customers wherever hunger strikes.
Non-Owner Vehicles
HNOA is the perfect solution for covering liability when using a vehicle that the business doesn’t own. This includes when renting a vehicle and also times when employees or business owners use their own personal vehicles for commercial purposes. Non-owned liability coverage provides extra security while meeting the unique needs of modern businesses.
Which Car Insurance Commercial Coverages Are Available in Missouri?
Drivers have plenty of options when protecting a commercial vehicle, including mandatory liability coverage, industry-specific coverages, and everything in between.
The best commercial auto insurance policy is going to protect you from the various risks you might face while on and off the road.
With the right coverage, you’re free to travel for your business as needed without the worry of what would happen should something go wrong.
Understanding your coverage options can help protect you from unexpected costs. Explore your choices below to make sure you’re properly covered:
Commercial Auto Liability Insurance
Liability coverage is the backbone of any commercial auto policy, protecting your business from costs tied to injuries and property damage after an accident. In Missouri, businesses must carry minimum liability coverage to operate legally, consisting of the following:
- $25,000 per person, $50,000 per accident for bodily injury
- $25,000 for property damage
Bodily Injury Coverage helps cover medical bills, rehab costs, funeral expenses, and lost wages for injured parties. Physical Damage Coverage pays for damage to someone else’s property, like their vehicle.
Together, these coverages work so that when accidents occur, your business is protected from having to restore the loss out of pocket.
Every commercial auto insurance policy for a small business will have coverage limits, and any costs beyond those limits must be paid out of pocket.
Furthermore, if your business insures multiple vehicles, you may need consistent liability limits across all of them.
Still, having a baseline level of coverage is the key to making sure that when accidents occur, you can keep things moving forward with peace of mind.
Note: Commercial truck insurance liability coverage operates differently, as there is a separate set of minimum coverage requirements, which you’ll be required to maintain depending on your industry, vehicle, and weight. For example, while a pickup truck can use commercial auto liability limits, if you’re hotshot trucking, you’ll likely need a commercial truck policy for compliance.
Underinsured/Uninsured Motorist Coverage
It happens more than you think. Your employee is parked in a loading zone on a street, and while they’re making their delivery, a driver without coverage hits your vehicle and flees the scene.
Even when some drivers do cause an accident, their policy may not be enough to cover the expenses your company will incur.
Having underinsured/uninsured motorist coverage is a great way to cover a range of scenarios so that your company isn’t left picking up the pieces when another party fails to do the right thing.
All commercial car insurance policies are required to maintain $25,000 per person and $50,000 per accident for bodily injury in uninsured motorist (UM) coverage in Missouri, however, underinsured motorist (UIM) coverage remains optional.
Comprehensive Coverage
A comprehensive auto policy protects your business vehicles from unexpected damage outside of accidents. If your company van is vandalized or destroyed in a fire, this coverage helps pay for repairs or replacement.
Keep in mind that you’ll need to cover the deductible before your insurance kicks in. Nevertheless, it’s a smart way to safeguard your investment from the unpredictable.
Collision Coverage
Collision coverage restores your company’s vehicles after an accident. It doesn't matter if your driver is at fault, the accident is with another vehicle, an object causes the damage, or your auto has rolled over. No matter what, you're covered.
However, to qualify, businesses must first have comprehensive coverage or fire and theft with combined additional coverage (CAC), and just like with comprehensive coverage, your business must cover the deductible before receiving reimbursement.
Personal Injury Protection (PIP) Coverage
Healthcare costs are on the rise, and if your business doesn’t properly prepare, depending on the nature of the accident, covering medical bills can be a sizable unexpected expense. Fortunately, PIP coverage is available in Missouri, as is medical payments coverage, allowing you to cover costs after health insurance when it’s needed.
Roadside Assistance and Expanded Towing Coverage
When a job goes sideways, the last thing you want to do is worry about how to get the company vehicle back on the road. Adding roadside assistance means fewer worries and more solutions. Find help with small repairs, like when you need a jump, have a flat, or need some fuel. Combining this protection with expanded towing coverage can help you cover towing to a shop when needed.
Gap Coverage
If your business vehicle is wrecked or stolen and you still owe more than it’s worth, you might be stuck paying for something you can’t even use. Gap insurance helps cover the difference, so your company isn’t left with a big bill. It’s a smart way to protect your money and keep your business running without extra financial stress.
Additional Coverages
Every business has unique risks, and some may need extra protection. There are several auto commercial coverage options to best fit the specific nuances of your business. Such as Fire and Theft with CAC for an affordable approach to protecting against damage from fire, theft, windstorms, and flooding. Whatever your needs, our agents will customize a plan that fits your business and budget.
Commercial Auto Insurance FAQs for Missouri
Navigating your business is complicated, and that includes making sure it’s protected. To help business owners in the Show Me State, here are some frequently asked questions we find many have when shopping for a commercial auto insurance policy:
How Do I Get Commercial Auto Insurance in Missouri?
Before getting commercial auto insurance in Missouri, make sure your business is properly registered and meets state requirements.
If you operate commercial vehicles, you may need to register as a motor carrier with MoDOT and, when crossing state lines, with the International Registration Plan (IRP).
Businesses transporting passengers or cargo in interstate commerce must have a USDOT Number from the FMCSA.
Additionally, you’ll likely need a surety bond or public liability insurance, and if hauling freight, cargo insurance may be required.
Finally, depending on your industry, a business license might also be necessary. It’s important to comply before you sign up for coverage, as this helps you avoid delays and legal issues.
Once you have your ducks in a row, finding affordable commercial auto insurance is as simple as reaching out to an insurance broker, comparing multiple carriers, and enrolling with the company offering your business the right level of protection at the lowest possible price.
Do You Need Both Commercial and Personal Auto Insurance in MO?
One of the benefits of commercial auto insurance is that there are options to cover you even when you’re using your personal vehicle. With that being said, if you use your vehicle for both work and personal errands, you need both a personal and commercial policy.
For those who switch between commercial and personal use, having both policies ensures you're fully covered, whether you're conducting business or just running to the store.
Is Commercial Auto Insurance More Expensive for Missouri Drivers?
Typically, the cost of commercial auto insurance is going to be more than personal auto insurance. This makes sense when you look at the higher risks vehicles used for business face as they’re on the road more, can carry heavier loads, etc. Additionally, commercial policies have higher liability limits to cover potential damages.
Are Trailers Covered Under Commercial Auto Insurance in Missouri?
Simply put, unless you find a rare insurer willing to include your trailer in your coverage, and likely charge you more as a result, be prepared to pay for separate coverage. Most standard commercial driving insurance policies won’t cover a trailer.
Is Commercial Auto Insurance a Tax Deduction in Missouri?
Whether or not you can deduct your commercial auto insurance premiums depends on a number of factors, because while the IRS considers these premiums “ordinary and necessary,” how you go about things matters.
Self-employed individuals and business owners commonly claim this deduction, but self-employed individuals will need to use Schedule C (Form 1040), while employees would use Form 2106.
Furthermore, there are complicated relationships that can emerge, which require important details to be followed.
Specifically, when a vehicle is used for both personal and business purposes. In this case, whoever is filing must track their business-related mileage along with related expenses to calculate how much is deductible. Personal use cannot be included.
Keeping accurate records isn't just the key to maximizing your deduction, it's necessary to avoid issues with the IRS, including penalties and legal issues.
Because tax laws are complex and can change, always check with a licensed tax professional to be sure your commercial auto insurance is deducted correctly and that you're choosing the best possible solution for your finances.
How to Save on Boat Insurance in Missouri
You can easily save on coverage for your watercraft, as many insurers offer discounts for safe boating, homeownership, multiple boats, paying in full, taking a Missouri-approved safety course, or bundling policies.
Bundling boat insurance with another policy can lower costs, but it’s not always the best deal, and while discounts are appealing, separate boat insurance might offer better coverage for a lower price.
The best thing boaters can do is shop around to ensure that they are receiving the best coverage at the lowest cost.
To compare Missouri boat insurance policies, give us a call at the number above for a free personalized quote from top-rated carriers near you.
