Guide to Commercial Car Insurance in Pennsylvania (2025)

If you’re a business owner in Pennsylvania and use a car, van, or truck for business purposes, a commercial auto insurance policy ensures you’re protected. Whether you’re an electrician driving a company car to a client’s house, a contractor hauling tools to a jobsite, or a driver delivering pizzas, ensure you’re covered with commercial insurance.

Here’s what you should know about commercial car insurance, including who needs it, the best commercial auto insurance companies in Pennsylvania, and how to get a commercial policy.

Commercial car insurance requirements in Pennsylvania

Business owners who use cars, vans, or trucks for commercial purposes need commercial car insurance. This applies whether you’re using a vehicle to haul equipment, drive to jobsites, or work as a self-employed delivery driver.

In Pennsylvania, the Department of Transportation (DOT) requires the following minimum auto liability limits for business automobiles:

• $15,000 per person / $30,000 per accident for bodily injury

• $5,000 for property damage

• $5,000 in medical benefits coverage

Coverage requirements vary depending on your vehicles and how you use them for your business.

For instance, vehicles carrying 16 to 28 passengers must have at least $1 million in combined single limit liability insurance. Cargo vehicles must have at least $5,000 in coverage to protect against loss or damage.^[2]

Optional commercial auto insurance coverages

Additional commercial auto insurance coverages in Pennsylvania include:

• 

  Comprehensive

  Comprehensive insurance protects your vehicle from non-collision damage, such as theft, vandalism, hail, fire, or hitting an animal.

• 

  Collision

  Collision insurance pays to repair your vehicle if you’re in an accident. In Pennsylvania, insurers automatically apply a $500 deductible unless you request a lower amount.

• 

  Uninsured/underinsured motorist

  Uninsured/underinsured motorist insurance pays your medical expenses if an uninsured or underinsured driver hits you or you’re involved in a hit-and-run.

• 

  Hired and non-owned auto

  HNOA provides liability coverage for vehicles your business rents or borrows. It also covers employee-owned vehicles if they’re occasionally used for business tasks.

• 

  Roadside assistance

  Roadside assistance covers tire changes, fuel delivery, jump-starts, and towing.

• 

  Rental reimbursement

  Rental reimbursement pays for a rental car when a covered loss damages your vehicle.

• 

  Cargo or equipment coverage

  This coverage pays for lost or damaged cargo carried in a vehicle.

Do you need commercial car insurance in Pennsylvania?

Vehicles used for business need commercial car insurance. Personal auto insurance policies exclude business use.

For instance, if you own a plumbing or electrical company and your employees drive service vehicles to jobsites, you need commercial car insurance. You may also need to add hired and non-owned auto insurance (HNOA) if your employees occasionally use their own vehicles for work errands.

Similarly, if you drive for rideshare services like Lyft or Uber, you’ll need commercial insurance or a rideshare endorsement.

But employees who use their vehicles only to commute to and from work don’t need commercial insurance. They’re covered under their personal auto insurance.

Best commercial car insurance companies in Pennsylvania

We’ve chosen three of the best commercial car insurance companies in the state based on coverage offered, discounts, and customer service. You can compare them below to find the right policy for your needs.

Progressive: Best for customization

Travelers: Best for industry-specific coverage

State Farm: Best for non-owned and hired car coverage

Average cost of commercial car insurance in Pennsylvania

The average cost of commercial car insurance in Pennsylvania is between $190 and $1,030 per month, according to Insurify data.

Factors affecting commercial auto insurance rates in Pennsylvania include vehicle cost, the number and type of vehicles, coverage type and amount, operating territory, past claims, business size and industry, and employee driving records.^[3]

What business owners should know about commercial auto insurance in Pennsylvania

Commercial auto insurance typically costs more than a personal policy. Coverage may extend to multiple drivers, and business vehicles may have higher risks. Your commercial auto insurance costs are based on various factors, including vehicle type, usage of the vehicles, fleet size, and the coverage you choose.

As with any insurance policy, exclusions and limitations apply. Commercial auto insurance won’t cover tools and equipment inside your vehicle, rental vehicle repairs, or accidents when you use a personal vehicle for business purposes.

While commercial auto insurance can be pricey, you may be able to deduct your premiums from your taxes as a business expense. Check with your tax professional.

How to get commercial car insurance in Pennsylvania

To find the commercial car insurance policy in Pennsylvania that’s right for your business, follow these steps:

1. Assess your insurance needs. Depending on your business, you may require different types of coverage. In addition to Pennsylvania’s minimum liability requirements, you might need comprehensive and collision or other optional coverages to protect your investment.

2. Obtain multiple quotes. Contact an insurance agent or use an online comparison platform to get multiple commercial insurance quotes.

3. Compare policies. Review and compare quotes from several insurance companies, considering price, coverage limits, policy exclusions, and desired add-ons.

4. Pick a policy. Choose a policy that fits your business needs and budget, then pay your premium.

Commercial auto insurance in Pennsylvania FAQs