Start with how the operation works
Commercial real estate programs work best when property values, lease requirements, income, and portfolio-wide liability are coordinated. For commercial auto, commercial auto planning matches vehicles, drivers, use, radius, and contracts to the business’s real road exposure.
Operating details to document
- Statement of values with occupancy and construction
- Leases, management agreements, and ownership entities
- Net operating income, capital improvements, and vacancy details
Coverage details to review
- Owned vehicle liability and physical damage
- Hired and non-owned auto exposure
- Driver eligibility, vehicle use, and operating radius
- Cargo, mobile equipment, or special vehicle considerations
Connect Risk Controls to the Coverage Review
A useful review goes beyond selecting a policy name. It connects current information to eligibility, policy structure, and the consequences of a significant loss.
- Match controls to the operation's most severe loss scenarios
- Assign responsibility and document inspections, training, and maintenance
- Track corrective action instead of relying on informal practices
Property and catastrophe damage
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Premises and ownership liability
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Income loss and changing replacement costs
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Owned vehicle liability and physical damage
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Hired and non-owned auto exposure
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Driver eligibility, vehicle use, and operating radius
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Cargo, mobile equipment, or special vehicle considerations
Confirm how this applies to the operation, how it is represented in the application, and where the policy addresses or excludes the exposure.
Information to have ready
- Statement of values with occupancy and construction
- Leases, management agreements, and ownership entities
- Net operating income, capital improvements, and vacancy details
- Vehicle schedule with use and stated values
- Driver list and driving-record review process
- Operating radius and typical destinations
- Personal, rented, borrowed, and employee-owned vehicle use
Questions for the coverage review
Do leases and policies allocate responsibility consistently?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Are vacant or renovation properties identified?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Could one catastrophe affect several portfolio locations?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Who may drive on behalf of the business?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Are vehicles taken home or used personally?
Document the answer and compare it with the application, quote, endorsements, limits, deductibles, and contractual requirements.
Frequently asked questions
Who should use this commercial real estate commercial auto guide?
Business owners and insurance buyers can use it to prepare for a focused review of loss prevention. It is educational guidance, not a quote or a substitute for policy terms.
What information should a commercial real estate account gather first?
Start with statement of values with occupancy and construction, leases, management agreements, and ownership entities, net operating income, capital improvements, and vacancy details, plus currently valued loss information when available.
Coverage descriptions are general. Eligibility, availability, limits, deductibles, exclusions, and policy terms vary by risk and market. Review actual policy documents with an appropriate insurance professional.