What is Hired and Non-Owned Auto Liability Coverage?

Hired and Non-Owned Auto Liability Coverage is a type of insurance that provides coverage for businesses that rent, borrow or lease vehicles for their business purposes. This type of coverage is sometimes referred to as "hired auto coverage" or "non-owned auto coverage". It provides protection for companies that do not own or operate their own vehicles, but hire or lease them for business purposes.

This type of insurance covers bodily injury, property damage, and medical expenses when a rented or leased vehicle is involved in an accident. It also covers liability for accidents or damages caused by a vehicle that is rented or leased by the business, but not owned by the business. This coverage can be used in conjunction with a general liability policy to provide comprehensive protection for businesses.

Who Needs Hired and Non-Owned Auto Liability Coverage?

Hired and Non-Owned Auto Liability Coverage is generally recommended for businesses that regularly use rented or leased vehicles. This includes businesses that use these vehicles to transport employees, clients, or equipment. Companies that use delivery services or courier services may also benefit from this type of coverage.

This type of coverage is also beneficial for businesses that periodically rent or lease vehicles for business activities such as trade shows or conventions. It can provide protection for companies that use rented or leased vehicles for business purposes but do not own the vehicles.

What Does Hired and Non-Owned Auto Liability Coverage Not Cover?

Hired and Non-Owned Auto Liability Coverage does not cover physical damage to the vehicles that are rented or leased. It also does not cover the cost to repair the vehicle or the cost to replace the vehicle if it is totaled. Coverage for physical damage must be obtained from the rental company.

This type of coverage also does not cover intentional acts, contractual liability, or pollution liability. It does not cover bodily injury or property damage caused by employees who are operating the rented or leased vehicles while under the influence of drugs or alcohol.

How Much Does Hired and Non-Owned Auto Liability Coverage Cost?

The cost of Hired and Non-Owned Auto Liability Coverage varies depending on the number of vehicles that are rented or leased and the type of vehicles that are rented or leased. The coverage limits and the type of business that is being covered will also affect the cost of the coverage.

It is important to shop around and compare quotes from different insurance companies. Many companies offer competitive rates and discounts for businesses that purchase multiple types of coverage from them. It is also important to read the policy carefully to make sure that it covers all of the risks associated with the business's activities.

Do I Need Hired and Non-Owned Auto Liability Coverage?

Hired and Non-Owned Auto Liability Coverage is an important type of insurance for businesses that use rented or leased vehicles for business purposes. It provides protection for the business in the event of an accident, and can help to minimize the financial losses that can occur due to an accident.

If your business uses rented or leased vehicles, it is important to consider purchasing this type of coverage. It can provide extra protection, and can help to ensure that your business is adequately covered in the event of an accident.