Hired and Non-Owned Auto Insurance Florida

Business Insurance for Hired and Non-Owned Auto

Hired and Non-Owned Auto Insurance provides liability coverage when your employees use vehicles that your business doesn't own for work purposes. This includes personal vehicles used for business errands or rental cars hired temporarily. Your standard commercial auto policy only covers vehicles your business owns, leaving a significant gap when employees drive other vehicles on company time.

Why Your Business Needs This

• Your business can be held liable if an employee causes an accident while running a work errand in their personal vehicle, even if you don't own the car
• Employee personal auto policies often deny claims for accidents that occur during business use
• Rental car coverage through credit cards is typically insufficient for business liability
• Florida businesses face significant lawsuit exposure without proper protection
• This coverage is relatively inexpensive compared to the liability risk you face

What It Covers

Non-Owned Auto coverage protects your business when employees use their personal vehicles for work tasks like visiting clients, making bank deposits, or picking up supplies. Hired Auto coverage applies when your business rents or leases vehicles temporarily. Both coverages provide liability protection for bodily injury and property damage caused by employees while driving for business purposes. This insurance specifically protects your business, not the employee driver. The coverage typically follows your commercial general liability or business auto policy limits and deductibles.

Who Needs Hired and Non-Owned Auto Insurance?

Any Florida business whose employees occasionally drive for work purposes should carry this coverage. This includes businesses without a company vehicle fleet, professional service firms whose staff visits client locations, sales teams that travel to meet prospects, and companies that occasionally rent vehicles for business trips. Even if driving is a small part of your operations, you're exposed to liability the moment an employee gets behind the wheel for business purposes.

How Does This Differ from Commercial Auto Insurance?

Commercial auto insurance covers vehicles your business owns or leases long-term. Hired and Non-Owned Auto Insurance fills the gap for vehicles you don't own but that are used for business purposes. If your business owns vehicles, you need commercial auto insurance for those. This specialized coverage addresses the additional exposure from employee personal vehicles and short-term rentals. Many businesses need both types of coverage for complete protection.

What Are Common Exclusions?

This coverage doesn't provide physical damage protection for the hired or non-owned vehicles themselves. It won't cover damage to an employee's personal car or a rental vehicle. The coverage also typically excludes employees who use their vehicles regularly for business and should be listed on a commercial auto policy instead. Workers compensation injuries are excluded as those fall under separate coverage. The policy protects your business liability exposure, not the vehicle or driver's personal protection.