Hired & Non-Owned Auto Insurance in Roanoke, Texas

What Is Hired & Non-Owned Auto Insurance?

Hired and non-owned auto insurance (HNOA) covers your business when employees use vehicles that your company doesn't own for work purposes. Taylor Reed Insurance's insurance agents help you understand this often-overlooked coverage that fills a critical gap in your business protection. This policy kicks in when employees drive their personal cars to make deliveries, attend meetings, run errands, or travel for business. It also covers rental vehicles your employees use for work trips.

Your standard commercial auto policy only covers vehicles your business owns or leases. If an employee causes an accident while driving their own car for your business, their personal auto insurance is primary, but it might not provide enough coverage. That's where hired and non-owned auto insurance steps in. This coverage protects your business from liability claims that exceed your employee's personal policy limits.

The "hired" portion covers rental vehicles your business uses temporarily. The "non-owned" portion covers employee-owned vehicles used for business purposes. Both provide crucial liability protection for your company when accidents happen in vehicles you don't own.

What Does Hired & Non-Owned Auto Insurance Cover?

This coverage protects your business from liability when employees drive vehicles you don't own. Here's what hired and non-owned auto insurance typically covers:

• Bodily injury liability: Medical expenses, lost wages, and legal costs if an employee causes an accident that injures someone while driving their personal vehicle or a rental car for work
• Property damage liability: Repair or replacement costs for other vehicles or property damaged in an accident caused by an employee driving for business purposes
• Legal defense costs: Attorney fees, court costs, and settlements if your business is sued after an employee causes an accident while driving for work
• Rental vehicle coverage: Protection when employees rent cars for business trips, client visits, or company events
• Excess liability protection: Additional coverage when claims exceed the employee's personal auto insurance limits

What this policy doesn't cover is equally important to understand. Hired and non-owned auto insurance doesn't cover physical damage to the employee's vehicle or the rental car itself. It also won't cover employees during their personal commute to and from work. The coverage only applies when employees are actively conducting business activities.

This policy also excludes vehicles your business owns or leases, which need their own commercial auto insurance. It doesn't cover cargo or business equipment being transported in employee vehicles. Those items typically need separate inland marine or business property coverage.

How Much Does Hired & Non-Owned Auto Insurance Cost?

The cost of hired and non-owned auto insurance depends on several factors specific to your business. Since every company has different risk levels, getting a personalized quote gives you the most accurate pricing information.

The number of employees who drive for business purposes significantly affects your premium. A business with five employees who occasionally visit clients will pay less than a company with fifty employees regularly driving for work. Insurance carriers assess how frequently your team uses personal or rental vehicles for business activities.

Your coverage limits play a major role in pricing. Higher liability limits provide more protection but increase your premium. Most businesses choose limits that match their commercial general liability policy to maintain consistent protection across their coverages. Your industry and business activities also influence pricing, as some operations carry more driving-related risk than others.

Claims history matters too. Businesses with a clean record typically receive better rates than those with past employee driving incidents. The geographic area where your business operates affects pricing as well, since accident rates and liability costs vary by location.

Many businesses save money by bundling hired and non-owned auto insurance with other commercial policies. Working with an independent agency gives you access to multiple carriers, helping you find competitive rates. Some insurers offer discounts for businesses with driver safety programs or regular vehicle use policies.

Do I Need Hired & Non-Owned Auto Insurance?

You need this coverage if employees ever drive for work purposes in vehicles your business doesn't own. Even if your team rarely drives for business, a single accident can expose your company to significant liability.

Businesses with employees who visit clients or attend off-site meetings should carry this coverage. Sales teams, consultants, healthcare providers, real estate agents, and service professionals regularly drive their personal vehicles for work. If an employee causes an accident while heading to a client meeting, your business faces potential lawsuits.

Companies that reimburse employees for mileage need hired and non-owned auto insurance. This reimbursement creates a business use of the vehicle, which means your company could be held liable for accidents that occur during business trips. Many business owners don't realize that mileage reimbursement programs create this exposure.

Businesses that rent vehicles for employees also need the "hired" portion of this coverage. When your team members rent cars for conferences, site visits, or business travel, your company needs protection from liability claims. The rental company's insurance and the employee's personal policy might not fully protect your business.

Even if you have a commercial auto policy for company vehicles, you still need hired and non-owned auto coverage. Your commercial auto policy won't extend to employee-owned or rental vehicles. This creates a dangerous gap in your protection that HNOA coverage fills.

How to Get Hired & Non-Owned Auto Insurance in Roanoke

Getting hired and non-owned auto insurance in Roanoke starts with understanding your business's specific driving activities. Document how many employees drive for work, how frequently they drive, and what types of business activities involve vehicle use. This information helps your insurance agent recommend appropriate coverage limits.

Texas law doesn't specifically require hired and non-owned auto insurance, but many situations make it essential. If you have a commercial general liability policy, adding HNOA coverage is typically straightforward and affordable. Some liability policies include it automatically, while others require you to add it as an endorsement.

Working with a local independent agency gives you advantages when shopping for coverage. Taylor Reed Insurance has served Roanoke businesses since 2009, building relationships with multiple carriers. This access means you get quotes from several insurers instead of being limited to one company's options.

Review your current insurance policies to identify coverage gaps. Check whether your commercial general liability or business owner's policy includes hired and non-owned auto coverage. If you're unsure, ask your agent to review your policies and identify any automobile liability exposures your current coverage doesn't address.

Consider your coverage limits carefully. Many businesses choose limits between $500,000 and $1 million to match their other liability coverages. Your agent can help you determine appropriate limits based on your risk exposure and the value of assets you're protecting.

Get Your Free Hired & Non-Owned Auto Insurance Quote

Protecting your Roanoke business from automobile liability doesn't have to be complicated. Hired and non-owned auto insurance provides essential protection when employees drive for work in vehicles you don't own. This coverage closes a critical gap that could otherwise expose your business to significant financial risk.

Taylor Reed Insurance makes getting covered simple. We compare quotes from multiple carriers to find you the right protection at a competitive price. Our team understands the unique needs of Roanoke businesses and can answer your questions about coverage options, limits, and bundling opportunities.

Ready to protect your business? Contact our team for a free quote today. We'll review your current coverage, identify any gaps, and provide personalized recommendations for hired and non-owned auto insurance that fits your business needs and budget.