From picking up supplies to making deliveries and visiting clients, you and your employees probably spend at least a few working hours on the road. Using personal or rental vehicles creates increased risk in the event of an accident. Hired and non owned auto additional insured riders to your policy can help mitigate that risk.
When Does Hired and Non-Owned Insurance Apply?
If an employee or volunteer has an accident while driving a personal or rented vehicle on your companys behalf, any claims made against them would be covered by your hired and non owned auto additional insured policy. The experts at World Wide Specialty Programs note that this can be a major factor for staffing firms whose employees often drive client vehicles.
What Does It Cover?
At its most basic, hired and non owned coverage will pay for legal fees and claims resulting from a work-related vehicle accident. Additional coverage options can lessen your risk. These include:
- Blanket additional insured coverage
- Property damage riders
- Personal injury claims
Why Not Just Use Commercial Insurance?
When you use company vehicles, they are covered under your business vehicle insurance. However, when employees or volunteers use personal vehicles or you rent temporary ones, those vehicles are not covered by your policy. Damages will be repaired under their own collision coverage, but you are vulnerable to claims made against your business.
The right insurance coverage can help reduce your risk when employees are operating multiple vehicles Riders such as blanket additional insured and physical property damage coverage maximize that protection.