Explore 5 Optional Coverages in Commercial Vehicle Insurance

Explore 5 Optional Coverages in Commercial Vehicle Insurance

If you’re the owner or operator of a commercial vehicle, commercial business vehicle insurance  is a must. However, there are many different types of coverage that are optional. 

This article will give an overview of these optional coverages, so that you can be sure to have the best possible protection for your business.

Vehicle Insurance

A commercial vehicle insurance is an important part of running a business. It covers the cost of repairs to your vehicles and protects you from liability for injuries to others.

Commercial Vehicle Insurance vs Personal Auto Insurance

The main difference between commercial vehicle insurance NZ and personal auto insurance is that the former requires greater coverage than typical personal policies, which are designed for individuals who drive their own cars on a daily basis. Commercial policies often include additional coverage options like:

  • Comprehensive Damage Coverage – This provides protection against damage caused by fire or theft during transportation, as well as accidents while driving off-road.
  • Collision Damage Waivers – These waive deductibles if you’re involved in an accident with another party while transporting goods or passengers within a certain geographical area.

Injury Liability

Injury liability covers the costs of injuries to others in the event that you are at fault. This coverage is required by law in most states and includes both bodily injury and property damage liability.

Injury Liability: What You Need to Know

  • How does it work? If someone is injured or their property damaged during an accident caused by your vehicle, this coverage will pay for medical expenses, lost wages and other related bills.
  • What’s covered? In general terms, injury liability covers three types of losses: physical damages (e.g., medical expenses), economic damages (e.g., lost wages) and punitive damages. 

Commercial business Vehicle Insurance

Physical Damage

Physical damage coverage is for repairing the vehicle. It’s not the same as collision coverage, which is for other vehicles and objects. Physical damage can be purchased in different levels: basic, comprehensive and collision.

Uninsured Motorist Coverage

Uninsured motorist coverage is a type of insurance that you can purchase to protect yourself and your vehicle in case an uninsured driver hits you. 

Uninsured motorist coverage provides protection against claims arising from accidents caused by drivers who are not insured or carry insufficient liability limits. This means if you’re involved in a car accident with someone who doesn’t have enough insurance, this type of coverage will help pay for medical bills and other damages resulting from the crash.

Medical Payments Coverage

Medical payments coverage is an optional coverage that can be included in your commercial vehicle insurance NZ policy. It provides medical expenses for you and your passengers, including those who are not covered by the liability policy. The medical payments provision ensures that you will have access to funds if someone is injured in an accident caused by your truck or van.


We hope this article has helped you understand the basics of commercial vehicle insurance and its optional coverages. Remember, there is no one-size-fits-all policy; each business has different needs based on its size, location, and industry. So, if you’re still unsure about what type of coverage is right for you or your company, contact an agent today!