What is Hired and Non Owned Auto Liability Insurance?

What is Hired and Non-Owned Auto Liability Coverage
Whether you own a small business, or a large business, you may want to consider this business insurance coverage.  The cost of the coverage can be minimal and it could save you a lot of time and money in the event of a lawsuit.

Sometimes it's inevitable that employees use their vehicles to conduct some type of business for their employer using their personal auto.  This could be picking up a pizza for a work party or driving to the post office to mail a letter for the business. If the employee gets into an accident, the following questions might come up, where were they going and what were they doing?  If the answer is related to conducting some form business for an employer, there is the possibility that your business could be found liable. This is where Non-Owned Auto Liability Coverage can come into play.  Non-Owned Coverage extends the liability coverage you have on your commercial auto policy, or your general liability policy, to your employees' vehicles.  

Hired Auto Liability Coverage comes into play if one of your employees is driving a vehicle that is not owned by your business or registered in the business name.  An example would be a vehicle that an employee rents while traveling for business.  If there's an accident, the person the employee hit may look to the business/employer for compensation.  

Both these coverages provide insurance protection to the business/employer, not the employee, so they need to carry their own auto insurance.  As a business owner, the last thing you want is gaps in Business Insurance coverage. Adding these coverages/endorsements to your business auto policy, or your general liability policy, can be real easy and affordable.  If you would like a Hired and Non-Owned Auto liability quote, or want more information regarding this coverage, please contact one of our licensed agents today.