Is my car still considered a personal passenger car if I sometimes use it for work?

Q:

I own a car but I sometimes use it for work. Will my insurance company still consider it a personal passenger car?

A:

The short answer is "yes." But it depends on a few factors, like how often you use it for work, distances traveled, and the type of work.

For example, in the case of my local automobile insurer, vehicles are commonly put into four rate classes: pleasure use, commuter, business, and deliveries.

1. Pleasure Use: A vehicle rated for personal pleasure use can still be used for work purposes like commuting, business, or deliveries for up to 6 days a month. If you go beyond that limit and have an accident during a work-related trip, coverage may be denied.

2. Commuter: This means your vehicle can be used for commuting to work or school as often as you want. However, your classification still varies based on distances traveled.

3. Business: This classification is meant for salespersons or realtors who drive to meet clients, not for carrying passengers.

4. Deliveries: In this group, there are further classifications based on what is delivered, distances traveled, and the type of vehicle.

Like I said, this example comes from my local automobile insurer, so the ones you will be dealing with may differ slightly but the principle remains the same. A car insured as a personal passenger car may still be used for work purposes, with limitations on how often it can be used and what it can be used for.

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Written by Jacques Wong
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Jacques grew up around the insurance industry and began actively participating in 2013. Since then, he has gotten a Level 2 license, won an Insurance Council of BC award in 2015 for academic excellence in the insurance licensing courses and educates insurance professionals through PNC Learning.   Full Bio