Yes, a business can operate without commercial auto insurance, but it comes with significant risks. If a company uses vehicles for business purposes—whether owned, leased, or employee-owned—lacking commercial auto insurance could lead to financial and legal troubles. In many states, businesses must carry insurance if they own vehicles. Even if not required, driving without it means the business is liable for accidents, property damage, or injuries, leading to costly lawsuits and out-of-pocket expenses. Personal auto policies often exclude business use, leaving gaps in coverage. Additionally, contracts with vendors or clients may require proof of insurance. Without coverage, businesses may struggle to recover from accidents, affecting operations and reputation. Some businesses may attempt to rely on employee personal policies, but these often don’t cover business-related claims, leading to denied claims and potential lawsuits. Ultimately, operating without commercial auto insurance is risky and could jeopardize the business’s financial stability.