Both business and individually-owned vehicles are required to maintain auto insurance when operating on the road, but for some commercial businesses, this coverage can’t protect them in instances where the vehicle in use doesn’t belong to the company itself. In these situations, having hired non owned auto coverage can be the answer to protecting from automobile loss exposures that you haven’t considered.
If you aren’t sure you need such coverage, ask the following questions.
Do clerical or administrative employees use their personal vehicles to make bank deposits while on company time?
Have your employees ever been sent to pick lunch for the office, make a run for office supplies or go to the post office?
Have employees ever been sent to pick up clients at the airport or to a client’s location for packages or materials?
Have you ever used a rented vehicle while on a business trip?
Does your sales team use their personal vehicles for business use?
If you can answer yes to any of these questions, you need to obtain a hired non owned auto policy. If your employee has an accident during any one of these scenarios, liability will rest with the business itself and you may be sued for incurred damage. Add more comprehensive protection to your existing auto policy, and avoid this stress in the future.