Commercial auto insurance is a legal requirement and a way to protect your business from financial losses and lawsuits. For example, if you or your employees cause an accident while driving for business, you could be liable for medical bills, property damage, legal fees, and more. Without commercial auto insurance, you could end up paying these costs out of your pocket, jeopardizing your business. Commercial auto insurance can also cover your vehicle if it is stolen, vandalized, or damaged by fire, hail, or other perils.