Florida Commercial Vehicle Insurance
September 29, 2025
Whether owned by the company or an employee, vehicles used for business purposes in Florida are required to have commercial vehicle insurance based on their intended use, which protects the company from greater liability and financial risk. This type of commercial insurance protects businesses in the Sunshine State from damages that are not adequately covered by a standard auto policy.
Commercial auto insurance policies are uniquely designed to provide specialized coverages for a broad range of business-related risks. This type of vehicle insurance is both needed and required to protect the policy holder(s) from potential bodily injury to someone else, as well as protection for other people’s personal property following a commercial vehicle-related accident.
2025 Florida Statutes - Title XXIII - Chapter 320.01 (25) – “Commercial motor vehicle” means any vehicle which is not owned or operated by a governmental entity, which uses special fuel or motor fuel on the public highways, and which has a gross vehicle weight of 26,001 pounds or more, or has three or more axles regardless of weight, or is used in combination when the weight of such combination exceeds 26,001 pounds gross vehicle weight. A vehicle that occasionally transports personal property to and from a closed-course motorsport facility, as defined in s. 549.09(1)(a), is not a commercial motor vehicle if the use is not for profit and corporate sponsorship is not involved. As used in this subsection, the term “corporate sponsorship” means a payment, donation, gratuity, in-kind service, or other benefit provided to or derived by a person in relation to the underlying activity, other than the display of product or corporate names, logos, or other graphic information on the property being transported.
Indeed, commercial auto insurance is essential for Florida businesses that use vehicles for work. It is the only way to provide adequate protection for the company from potentially damaging but unexpected financial and legal losses arising from vehicular accidents and other business-related incidents. State insurance statutes recognize that business-use involves greater risks, more driving time, and different usages than needed for standard personal auto policies. Even an owner’s personal car could have a claim denied if it was being used for any business purpose at the time of an accident.
Why is a personal policy not enough?
For starters, if you or your employees use their personal cars for work, Florida commercial auto insurance extends liability coverage in case of an accident. Having the right coverage also enhances business credibility in acting professionally by taking responsibility for properly insured vehicles. Additionally, most personal auto insurance policies do contain an exclusion for business use. So an accident claim could be denied and the company would be financially responsible for all damages, including bodily injuries and damages to other’s property. Even delivering an item or dropping people off can elevate a company’s risk and may not protect the business entity in case of a lawsuit.
Mandatory Coverages in the Sunshine State
Based on a vehicle’s weight, type of cargo and intended use, the Florida Department of Highway Safety and Motor Vehicles (FLHSMV) established the minimum commercial insurance requirements for operating vehicles on state roadways by vehicle type, including:
- Most Commercial Vehicles: This includes the standard vehicles the business owns, rents or leases for its operations. In addition, personal vehicles used for work-related tasks and functions where transportation is the core function, such as delivery services or transporting goods. Florida law mandates that all vehicles used for business purposes carry a minimum amount of insurance, including $10,000 in Personal Injury Protection (PIP) and $10,000 in Property Damage Liability (PDL).
- Larger Commercial Vehicles: Florida insurance laws define larger commercial vehicles as not owned by a government entity and used for business purposes based on a gross vehicle weight over 26,000 pounds, or a vehicle with three or more axles. All commercial vehicles operating on Florida highways must be registered and display a USDOT Number that requires updates every two years. Larger commercial vehicles traveling on state-maintained highways are required to stop at all weigh stations and agricultural inspection stations.
- Registered Taxis or Shuttles: Both taxis and shuttle services are considered as “for-hire” transportation and are legally required to carry commercial auto insurance. This type of policy covers the vehicle during operations like transporting passengers or goods for a fee. Personal auto insurance in Florida does not cover these types of services. Moreover, the Sunshine State mandates minimum coverage amounts for PIP and PDL for drivers of commercial taxis and shuttle-related vehicles used for transporting passengers.
- Florida Rideshare Insurance: In Florida, Uber-like rideshare service drivers are not required to purchase traditional commercial vehicle insurance for their personal vehicle. Some insurance carriers do offer a specific rideshare coverage as an endorsement or add-on policy to cover the vehicle owner while driving for the platform. So, these can supplement policies like the Uber commercial coverage for drivers in three Florida coverage phases: 1) logged on but no passenger; 2) waiting for a request; or 3) enroute with a passenger onboard.
Most personal auto insurance policies will not cover damages if a vehicle is involved in accident while conducting business functions. So, inadequate personal policy coverage means your company or business is responsible for all costs, including medical expenses, liability lawsuits, and damage to other people’s property. If you are found liable and cannot pay out of pocket, a court may issue a judgment against your personal and/or company assets.
Penalties for Not Having the Right Insurance
Not having adequate commercial auto insurance when operating a business in the Sunshine State can result in costly fines and suspension of driving privileges. In addition, Florida vehicle registration and the type of insurance required are very closely linked. For example, you must provide proof of valid auto insurance coverage to obtain or renew a vehicle’s registration in the state. Most importantly, unlike with some other offenses, Florida does not issue a temporary or hardship license for these types of insurance-related suspensions.
To regain driving privileges and reinstate vehicle registration, the vehicle owner must provide proof of valid Florida commercial auto insurance and pay reinstatement fees. These fees also escalate with multiple offenses within a given period of time, including:
- First offense is a $150 reinstatement fee.
- Second offense within three years is a $250 reinstatement fee.
- Third offense within three years is a $500 reinstatement fee.
In addition to penalties owed for not having the proper commercial insurance coverage for a given vehicle, more serious charges may apply if the driver was operating a commercial vehicle with a suspended license or committing a felony when the accident occurred. A convicted driver may also have to meet requirements for high-risk drivers by filing a SR-22 form that can triple the cost of coverage.
If an accident happens while you or your employee is driving an uninsured commercial vehicle, your financial assets are exposed, as Florida law holds the owner personally responsible for all damages. This includes medical bills for others in the accident, plus property damages and any resulting legal fees. In fact, driving an uninsured vehicle exposes the company to awards granted by the court for lost wages and other economic losses. Moreover, it can restrict your ability to sue for non-economic damages, such as pain and suffering.
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The costs from an accident without proper coverage can be severe enough to result in business closure. Independent agents online can play a crucial role in providing your company with the personalized advice needed to protect your financial interests. Our experienced staff will act as your advocate when comparing policy rates from multiple companies to ensure you get the right coverage at the best price for your business needs. Call 1-833-450-9490 to speak with an experienced agent about Florida commercial auto insurance at Nsurance Nation today.
