HIRED AND NON-OWNED AUTOMOBILE LIABILITY
Hired automobile refers to vehicles rented in the name of the business.
Non-owned auto refers to a vehicle that is not owned or registered to the business. (Vehicles that are owned personally by the owner of the business, or owned by employees)
Hired and Non-owned auto . . .
- Does protect the business if it is sued as a result of an accident.
- Does cover attorney defense costs in the event of a lawsuit
- Does NOT cover the damages to the vehicle itself
- Does NOT provide coverage to the individual employee involved in the accident
If an employee such as a secretary uses his or her own vehicle to go to the post office for the business and is involved in an accident, non-owned auto liability coverage would provide protection if the business was sued.
If an owner of a business has a vehicle registered to his or her personal name and uses it for business purposes, then non-owned auto provides protection for this vehicle that is not owned by the business, should the business be sued. If an auto accident was to occur resulting in severe damage or injuries to the other party, their attorney would sue the business as well as the owner of the vehicle.
Call us if you have any questions or desire coverage. 973-377-6100