Typical cost per vehicle
Commercial auto is rated per vehicle, so total premium scales with fleet size. These are common annual ranges for $1M combined single limit with comprehensive and collision.
| Vehicle type | Typical annual premium | Notes |
|---|---|---|
| Personal-size car / SUV (business use) | $1,300 – $2,200 | Local radius |
| Cargo or service van | $1,600 – $3,000 | Contractor and service use |
| Pickup with equipment | $1,800 – $3,400 | Tools/equipment usually separate |
| Box truck (under 26,000 lbs) | $3,000 – $6,500 | Radius sensitive |
| Wheelchair / NEMT van | $3,500 – $8,000 | Passenger exposure |
| Tractor-trailer (long haul) | $12,000 – $20,000+ | Filings required |
What carriers rate on
Radius of operation is the biggest single factor — a 50-mile local radius prices very differently from regional or long-haul. Then comes vehicle weight and value, cargo carried, garaging ZIP code, and driver MVRs. One driver with a recent at-fault accident or a DUI can move an entire fleet's premium.
When you need hired & non-owned auto instead
If the business owns no vehicles but employees drive their own cars for work, you do not need a full commercial auto policy — you need hired and non-owned auto (HNOA) liability, which usually costs a few hundred dollars a year and protects the business from vicarious liability.
Controlling the cost
Run MVRs at hire and annually and set written eligibility standards. Telematics credits are now available from most carriers and can save 5–15%. Raise physical damage deductibles on older units, or drop collision entirely on vehicles worth less than a few thousand dollars. Finally, market the account — commercial auto has the widest carrier spread of any small-business line right now.
Frequently asked questions
Can I put a work truck on my personal auto policy?
Generally no. Personal auto policies exclude most business use, and a denied claim on a titled-to-the-business vehicle is common. If the vehicle is titled to the business or used primarily for work, it belongs on a commercial policy.
Why did my commercial auto renewal increase so much?
Nuclear verdicts, repair-cost inflation, and higher medical costs have pushed commercial auto rates up across the market. A clean fleet still gets increases — shopping the account is the main lever.
What limit do contracts require?
$1,000,000 combined single limit is the standard requirement. Some hospital, municipal, and general contractor agreements require $2M or a $5M umbrella above it.