Updated 2026-11-01
Commercial auto premiums vary widely, and published averages are rarely useful for a specific business. Underwriters build the price from a short list of factors, and knowing them helps you give accurate information and spot quotes that were built on the wrong assumptions.
The main rating factors
- Vehicle class. Size and weight matter. A sedan, a cargo van and a box truck sit in different rating classes.
- Business use. Service work, retail delivery and commercial hauling are rated differently because exposure differs.
- Radius. How far vehicles regularly travel from where they are garaged. Longer radius usually means more miles and more varied roads.
- Garaging location. Traffic density, theft and repair costs in the garaging ZIP code affect both liability and physical damage.
- Drivers. Age, experience and motor vehicle records for every regular driver.
- Limits and deductibles. Higher liability limits cost more; higher physical damage deductibles cost less.
- Loss history. Prior claims, especially at-fault accidents, carry weight for several years.
Factors you can influence
You cannot move your garage, but you can choose who drives, set deductibles that match each vehicle's value, and show insurers how you manage risk. Written driver standards, regular MVR checks and dash cameras are all things underwriters ask about, especially for a small fleet.
Check the quote assumptions
When quotes come back, compare the vehicle classes, radius and drivers each insurer used. A low price built on the wrong radius can lead to a mid-term correction. Also compare which coverage types are included; a quote without physical damage is not comparable to one with it. The coverage overview lists the parts to line up.