You just landed a new client for your business and you have a truck you plan to use to haul equipment for the job. But before they sign the contract, they say you need a certificate of insurance (COI) — before Friday. Fortunately, you can buy commercial auto insurance online, and it’s fast and straightforward for most businesses.
Commercial auto insurance protects you financially if you’re in an accident while driving your work vehicle. It usually includes bodily injury and property damage liability, and full-coverage policies also include collision and comprehensive insurance.
Below, learn the seven steps to buying commercial auto insurance online, what documents you’ll need to gather and how to decide which path is right for you.
How to buy commercial auto insurance online, step by step
For many drivers, the process for buying commercial auto insurance online is much like buying a personal policy online. Others will need to follow slightly different purchase paths. Follow the steps below to purchase your policy online.
- Confirm that commercial is the right product: First, decide whether a commercial auto policy is the right fit for your situation.
- Gather your documents: You’ll need your VIN, business details and other information to apply.
- Choose limits and deductibles: Decide whether you need liability-only or full coverage (liability plus collision and comprehensive). Check your contract for required limits or set them based on the assets you need to protect.
- Pick your buying path: Simple, single-use vehicles can bind instantly. Others can start the application online and finish with an agent, or hire a broker for complicated needs.
- Compare apples-to-apples quotes: Ensure the limits and deductibles are the same across all quotes for a true comparison.
- Answer underwriting questions honestly: This is important: misclassifying use is the top reason claims are denied.
- Bind, pay and download your ID cards: Finalize your coverage, download your documents and print/save your certificate of insurance (COI).
Sophie’s Tip
Step 6 is the step everyone rushes. When the form asks how you use the vehicle, answer for your busiest week, not your average one. Underwriters price policies based upon actual use, and an honest answer now is what keeps a claim from being denied later.
What documents and information do you need to buy a commercial auto policy?
Checklist
- Legal business name, structure and years in business
- VIN, year, make, model, garaging ZIP and whether it’s titled to you or your business
- Driver’s license number, date of birth and 3–5 years of driving history
- Note your client’s information as an additional insured, if applicable
Before you apply, gather information about your vehicle and your business so you’re ready to provide complete answers to each question on the application. Here’s what you’ll need:
- Business information: Provide your complete legal business name (or your name, if you’re a sole proprietor). State the structure of your business: sole proprietorship, limited liability company (LLC), partnership or S corporation. Include how many years you’ve been in business.
- Vehicle information: Submit your Vehicle Identification Number and the year, make and model of the vehicle. Provide your garaging ZIP Code and indicate whether the car is titled in your name or your business’s name. Your garaging ZIP — where the vehicle is parked, not your business address — is one of the biggest drivers of a commercial auto quote.
- Driver information: Finally, be ready to provide your contact information, date of birth, driver’s license number and whether you’ve had any accidents, tickets or DUIs in the last three to five years.
You may also need to provide information about your client if they want to be named as an additional insured. An additional insured is someone added to your policy who will receive limited coverage for certain risks.
Sophie’s Tip
Your garaging ZIP — where the vehicle is parked, not your business address — is one of the biggest drivers of a commercial auto quote.
Where can you buy commercial auto insurance online?
There are three main ways to purchase a commercial auto insurance policy online, each suited to your situation and desired level of customer support. You can choose digital carriers with instant policy binding, quote-and-bind carriers with agent support or online marketplaces and brokers.
Here’s a breakdown of each path to purchase.
Path 1: Instant-bind digital carriers. This path is best when you have one vehicle and simple coverage needs. It’s also the fastest path to binding coverage and a COI that you can provide your client.
Online-only or digital carriers offer narrower endorsement menus, so you’ll have a limited range of options to tailor your policy to your needs. On the plus side, qualifying is usually quick, and you may be able to quote, pay and bind your coverage in a day. BiBerk is an example of an instant-bind type of carrier.
Path 2: Quote-and-bind carriers with phone or agent support. If you need a quote or COI fast but still prefer personalized support, look for carriers that let you start your quote online and then chat, call or visit in person for additional help. These carriers may match you with a local agent who can respond quickly and professionally to answer your questions or adjust your coverage.
With this path, you can still typically receive a COI within two or three business days. State Farm is an example of a commercial carrier that lets you start online and bind coverage with agent support.
Path 3. Online marketplaces/brokers. If you have a fleet (two or more business vehicles) or more complex commercial auto insurance needs, an insurance broker or online marketplace may be the right path. They can help you compare several options side by side, including carriers that may be more suitable for your needs than the limited options offered by instant-bind carriers.
With this path, you can often receive a COI within a couple of days. Tivly is an example of a commercial auto insurance marketplace that provides human help.
Speak with a friendly agent and get your quote in minutes!
Should you buy direct or through a broker?
Let’s bust one myth: buying directly from the carrier is not automatically cheaper than purchasing a policy through a broker. The commission on your purchase is priced in either way, so base your choice on which option suits your situation better.
When you should buy direct: If you’re in a hurry, you know exactly what coverage limits you want and your business and vehicle are relatively low-risk, purchasing directly from the carrier is fine.
When you should go with a broker: If you have multiple vehicles to insure, need someone in your corner during claims, have complex insurance needs, or need help comparing carriers, a broker is the way to go.
Sophie’s Tip
Here’s an easier way to decide. Ask one question: If a claim got messy, would you want someone in your corner who already knows your file? If yes, a broker is worth it. If your risk is one clean vehicle and you know your limits, buying direct is faster and costs the same.
How fast can you get covered, and when do you need to talk to a human?
You can get a quote for commercial auto coverage online in 10 minutes, with coverage bound the same day if you have a clean single-vehicle risk and time your application well.
The process could take longer if your application contains one of the following five underwriter-trigger flags:
- You have a fleet
- You have a checkered motor vehicle record
- You’re purchasing insurance across multiple states
- You’re insuring an unusual vehicle
- The underwriter needs to sign off on the additional insured endorsement
In those situations, a human underwriter will need to perform a manual review, which will extend the timeline.
Interstate owner-operators will need to obtain a USDOT number from the Federal Motor Carrier Safety Administration and file Form MCS-90 (Endorsement for Motor Carrier Policies of Insurance for Public Liability). Learn more in our guide to commercial auto insurance.
Does buying online change by state or city?
The process of buying commercial car insurance online stays the same regardless of which state or city you’re in. It’s the numbers in your quote that vary by location. For example, state coverage minimums vary from state to state, so your contract limits may vary, too. States with higher minimum coverage limits will automatically require you to purchase more coverage than other states.
Beyond minimum requirements, location affects your costs, too. The price you pay for your commercial coverage will be higher or lower depending on your garaging ZIP code, not your business address.
For instance, the average monthly cost for commercial auto insurance in Texas is often higher than the national average, which could add hundreds to your monthly premiums compared to a policy in a cheaper state like Ohio.
What to do after you buy your policy
After you’ve secured your commercial auto insurance, immediately:
- Download and print your new ID cards, then stash them in your vehicle’s glove box or another secure location.
- If available, save and print your certificate of insurance — keep a copy for your records and provide a copy to your additional insured as proof of coverage.
- Set up autopay so you never miss a premium payment and risk a lapse in coverage.
- Store your declarations page in a secure location where you can easily reference it as needed. It will contain important information such as your coverage limits, policy period and deductible.
You’ll also have ongoing tasks to complete to keep your coverage updated. At each renewal, review your policy to make sure it still meets your needs. You can also shop for new quotes at this time to make sure you’re receiving a competitive rate.
If you add a vehicle or sell your current vehicle, request a new quote and update your coverage. The same applies if you add a driver or a new type of work — the insurer will need to reevaluate your risk and may adjust your premiums.
If you’re a gig worker or contractor, verify your platform’s terms of service annually to ensure you’re complying with your contract requirements and refresh your COIs as needed.
It’s possible to purchase commercial auto insurance online and get covered quickly when you know what to do and what to expect. Start your commercial auto quote today.
CIC Commercial Auto Buyer Checklist
- Before you start: Gather the info you need to quote: your legal business name/structure; number of years in business; the VIN, year/make/model, garaging ZIP and title info for each vehicle; the driver’s license number, date of birth and 3-5 year driving history for each insured driver; estimated annual mileage and how the vehicle is used for work; any prior claims; current declarations page; any client contract’s required limits and additional-insured wording.
- Choose your coverage: Decide your liability limits and ensure they meet state minimums AND any contract requirements. For full coverage, add collision and comprehensive. Choose your deductibles and select any endorsements you may need, such as HNOA (hired auto).
- Pick your path and compare: Which path suits you best? Instant-bind digital carrier, quote-and-bind with support, or marketplace/broker? Get matching quotes with identical limits and deductibles on each to compare apples to apples.
- Before you bind (check for red flags): Make sure business use is classified correctly; check that limits meet state and contract requirements; ensure every regular driver is listed; add additional insured(s) if a client requires it; check that the VIN and mileage are accurate.
- After you buy: Download ID cards and COI; set up autopay; save the declarations page in a safe place; mark the calendar for a renewal review; regularly update on new vehicles, drivers, or work types.
Conclusion
Buying commercial car insurance online can go from quote to covered in as little as a day for simple needs, and even more complex policies can get binding coverage in a few business days.
Whether you choose to go with a digital carrier, one that also provides agent support or a broader marketplace/broker route will depend on how quickly you want to get coverage and how much support you want. Now that you’ve got the checklist and the path, start your commercial auto quote.
Frequently Asked Questions: Commercial auto
Can you buy commercial auto insurance online instantly?
Yes. Most simple, single-vehicle quotes can be completed online in about 10 to 20 minutes. If you have more complex risks (like multiple vehicles), you can start your quote online and finish with an underwriter.
What documents do I need to buy a commercial auto policy?
You’ll need the business name, years in operation and business structure. For the vehicle, you’ll need to provide the VIN, make/model/year, mileage, garaging ZIP Code and registration details. For yourself and any other insured drivers, you’ll need a driver’s license number, date of birth and driving history. If you need to add an additional insured, you’ll need their information as well.
Is it cheaper to buy commercial auto insurance directly or through a broker?
The premium is usually the same whether you buy a policy directly from the carrier or the broker. But the level of help and support you receive will differ. Go with a broker if you want extra support in choosing the right policy and coverage levels. Buying direct is fine if you have a simple, single-vehicle policy to buy and know your coverage limits ahead of time.
How long does it take to get commercial auto insurance?
You can quote and bind coverage on the same day with some online insurers if your situation is simple and your payment is prompt. Using an agent, marketplace or brokerage could take a little longer, but you can still usually bind coverage in just a few days.
Where can I buy commercial auto insurance online in Texas?
You can buy commercial auto insurance directly from the carrier in Texas or you can use a broker to help you find exactly the right fit. See our guide to commercial auto rates in Texas for an idea of what to expect and how much it might cost.
Do I need commercial auto insurance or just a personal policy endorsement?
You’ll need a commercial auto insurance policy if you use the vehicle for work or business reasons, such as transporting tools or traveling between job sites. If the vehicle is for personal use or commuting to work, a personal policy is fine. Keep in mind that if you’re in an accident while driving for business purposes, but you have a personal auto policy, your claim could be denied.
Can I get a certificate of insurance the same day I buy it?
Yes, you may be able to get a certificate of insurance the same day you buy, depending on the insurer and your situation. Contractors and others who use their car for work can purchase and bind coverage and generate a COI almost instantly with an online carrier.
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