The basics

What is hired & non-owned auto insurance?

This type of auto insurance provides liability protection for vehicles you hire, rent, or borrow, as well as liability protection for non-owned vehicles (i.e. vehicles owned by someone else, such as an employee).

Put simply, it’s an insurance policy for accidents involving vehicles operating on behalf of your business, but that your business does not own.

Why would I need hired & non-owned auto insurance?

If someone who works for you gets in an accident while driving, you can be on the hook for the damages– even for something as simple as picking up lunch for the office.

Your employees and subcontractors are the fabric of your business. If they’re driving on your behalf, it’s your risk– regardless of who owns the car they happen to be driving.

The number of drivers using their phones behind the wheel at any given time.
1.6 million
That leads to around 1.6 million crashes per year.

You should consider hired & non-owned auto insurance if:

1. You or your employees ever drive vehicles that are not listed on your business auto policy for business purposes.

2. Someone who works for you ever drives vehicles that your business does not own (such as their own car) for business purposes.

Your business could be liable for accidents in the following situations:

    • Your general manager stops by the bank on the way to work.
    • A salesperson meets up with a client while on a personal vacation.
    • Your assistant stops by to drop off some samples at a client’s office before work.
  • You send an employee to pick up lunch for the office.

Note: If you want to insure vehicles your business owns, you’ll need business auto insurance.

Coverage highlights

Bodily injury liability
Helps pay for the costs associated with injuries to the other people involved. It’ll also provide a legal defense if you are sued for damages.
Property damage liability
Helps pay for the damage caused to someone else’s property, such as another car or building.


The cost of hired & non-owned auto policies varies.

But as a rule of thumb, you can usually get coverage for extra drivers for around only $100/year.

Get a quote with us, and we’ll be able to tell you exactly how much it’ll cost.