When a job ends, there are a lot of pieces of paperwork, investments and accounts to be settled. One of those accounts is going to be your commercial auto insurance policy. Whether you're selling a business, shuttering a business, leaving your delivery job or completing a freelance contract, you may come to a point where you don't really need that commercial auto insurance policy for the time being. So, do you need to cancel it?
You Can Carry A Commercial Auto Policy Even If You're Not Technically Driving For Work At The Moment
Your insurer does not require you to immediately drop your insurance policy simply because a job has ended. If commercial auto insurance was tied having an active job, working as a freelancer or contractor would be just about impossible — as you would have to buy a new policy every time the phone rings. Before canceling your policy, consider whether you're actually going to need it again.
If, for example, you just quit a job delivering pizzas, that job is going to look good on your resume when you apply for work as a delivery driver for a courier agency or a service like DoorDash. If you're still seeking work behind the wheel, you might be better off keeping the policy rather than starting over from scratch after finding your next gig. In fact, carrying commercial auto insurance can even help you to find that next job.
The real question isn't so much whether you need to drop your commercial auto policy, but whether you need to keep it. If your next job isn't going to have you driving, then commercial auto insurance is an unnecessary expense. If you've closed a business down and are in the process of selling your delivery vans, there's no need to keep them covered on a commercial policy.
All of this is to say that you can keep your commercial insurance policy for as long as you like. But there may come a point where you're better advised to simply cancel the policy.
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