Every business that deals with hired vehicles (including borrowed or rented vehicles) should have a hired non owned auto insurance policy. This is because other types of insurance coverage do not typically offer protection for damages caused by non owned automobiles that are driven by employees.
Even personal employee vehicles can become a liability if they are driven to perform work-related duties. Every responsible business owner who has employees should insure that they also have adequate protection for the vehicles their employees drive.
Common Situations That Require Non Owned Auto Insurance
Any business could easily run into financial trouble if they do not have adequate non owned auto insurance. This valuable type of coverage is beneficial for many different situations, including the following:
- An employee uses their vehicle to pick up supplies for the office.
- An employee rents a vehicle while on a business trip.
- A company sends a limousine to pick up a client from the airport.
In any of these situations, an employee or client could become involved in a car accident that causes property damage or bodily injury. As a result, the victim of the accident or the employee could sue the company for all costs associated with the accident.
Purchasing a Policy
Businesses that want to protect themselves from liability for accidents involving their employees or clients should speak with an insurance agent about purchasing a hired non owned auto insurance policy.