Does personal auto insurance not cover you if you have a business sign on your car?


Question:
I was told that if you have an accident your car won't be covered if you are advertising your business on it. Also, what if a client or family member has one on their car, even if they don't own or work for the business?

Answer:
Some insurance companies will not insure business signs such as pizza delivery, or other delivery vehicles, due to the high exposure and high miles. A simple business such as landscaping or appliance repair can be insured as a business or commercial class and will be covered. Check with your insurance company (without giving your name) to see about getting the correct coverage. Good luck!
Not true. If you use the car for business, which includes carrying a sign, you have to notify your insurance agent. I am sure you will have to pay a higher premium. If you have an accident and the claims adjuster finds out the car was used for business, the insurance company will have to pay the claim. However, they can cancel the insurance because you did not notify the insurance company of the change in use of the vehicle. If your insurance gets canceled, you will have a hard time getting insurance and may end up in the assigned risk plan.
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