Driving school insurance falls under the transportation and passenger related services industry. It is important to find an insurance company that is well experienced in this field and has many plans to choose from. They should be aware of regulatory and statute requirements that can require Certificates of Insurance to be provided within hours or even minutes. Look for a company that can assist you with premium payment plans that can fit your budget and work with your cash flow.
Driving schools insurance plans are similar to private passenger auto coverage with the exception of a few specially required endorsements. The following are endorsements that might be required in your state.
- Driver school training: This endorsement extends your insurance policy coverage to allow for permission to be given for the vehicle to be used for driver school training purposes and extends the liability section to cover the insured's liability for the student and any observers.
- Limiting the amount paid for loss or damage coverage: In the event of a loss to the insured the maximum amount of insurance under the physical damage section is limited to ACV (actual cash value) or a specified amount, whichever is less.
- Damage to property of passengers: This endorsement provides insurance coverage for passengers' own property.
- Fire and theft deductible: In the event of either of these losses the applicable deductible would apply.
- Downtime limitation side agreement: This endorsement would cover the loss of use of the vehicle in the even of a loss.
There will be factors that an insurance company will look at in order to determine your premium such as the following:
- Auto accident review: Review of all incidents and driver performance evaluations.
- Auto safety program: Review of any in place awards programs as incentives to trainers.
- Driver selection: Review of each driver and trainer at the school including physical exams and motor vehicle reports.
- Driver training program: Review of procedures and certifications to be in place before a student is allowed to use driving school vehicles.
- Vehicle maintenance programs: Review the schedule for routine and corrective vehicle maintenance.