You say your company owns no vehicles. Therefore, your company requires no commercial auto insurance.

Sorry, but it’s not that easy. Have you heard of Hired/Non-Owned Auto insurance?

Hired/Non-Owned Auto insurance is commonly found on commercial general liability insurance policies for small businesses in Florida. If your company’s employees and contractors (yes, 1099s) drive their own vehicles, leased vehicles or otherwise non-owned vehicles for company use, your company should have Hired/Non-Owned Auto insurance.

What do we mean when we say vehicles “for company use?” We don’t mean daily commuting to and from the office but it could be a coffee run before a staff meeting or a quick trip to FedEx. It could be a drive from home to see a client before going to work or it might be a rental car in another city.

You’re probably thinking, “Employees have their own personal auto insurance policies so why should I worry?” Because some of their policies might specifically exclude coverage for business use, or because the coverage limit on a personal auto policy might not be enough to cover a given damage claim.

Here’s another question to ponder. Where is a personal-injury attorney likely to look to recover damages, if your employee’s personal auto insurance doesn’t cover them? The answer is your company when that lawyer discovers that your employee was driving for business.

Hired/Non-Owned Auto insurance typically pays for third-party bodily injury and property damage liability. And even if a claim against your company is bogus, Hired/Non-Owned Auto insurance is handy because it pays attorneys and legal expenses to make that mess disappear.

Ask more questions at or call at 813.343.0076.

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