We Make Hired and Non Owned Auto insurance Easier
Some businesses that either lease, rent, or borrow a vehicle or vehicles to use for business purposes need to get protection in the form of liability coverage to cover them against liabilities. This type of auto coverage is called Hired and Non-Owned Auto or HNOA. With this auto policy, your business is protected from costs involving commercial liabilities as provoked by accidents using a hired vehicle or a borrowed personal vehicle from an employee and is used for the business.
Lawsuits can certainly be very costly, so considering getting a hired and non-owned auto insurance is very important if your businesses depend on either rented, hired auto, or borrowed to transport products or perform other tasks for the business, which involve travel. A hired and non owned auto insurance policy is something that employers should consider as an investment.
What is the Liability Coverage for a Hired and Non-Owned Auto Insurance?
This commercial auto liability insurance offers coverage in the event of claims and at the same time will also pay for costs involving legal and defense, which may include settlements, attorney fees, and the like when your company is sued because of an auto accident.
Having a hired and non-owned auto policy also offers protection to your business when your employees, whether full-time, volunteer, or temporarily cause bodily injury or property damage while driving to fulfill a task for your business.
What is Not Covered in the Hired and Non-Owned Auto Liability Insurance?
Although this auto insurance provides so much liability coverage, some aspects are not covered by this insurance policy. Costs related to the physical repair of the hired or employee-owned vehicle as well as property damage while on transport inside the non owned auto are not part of the coverage.
Liability coverage for HNOA also does not include accidents that occur while the employee is commuting or while the employee is doing a personal task but uses the hired auto, whether during work hours or after.
When an employee encounters a collision while doing work-related duties and is using a personal vehicle, personal auto insurance will pay for the damages incurred. Still, this policy will not cover the business in case of a claim. This then is where HNOA will serve its purpose.
How Does HNOA Insurance Work?
HNOA Insurance solely covers business hired vehicles, meaning autos on the lease, borrowed, hired, or under rent and used exclusively for business purposes. This kind of insurance policy usually works on either a primary or secondary coverage.
The cost of this type of auto coverage differs as it is based on various factors, such as the age of the driver, their driving record, and the kind of vehicle used. It also includes whether the vehicle will be used internationally, locally, or both, the number of vehicles on rent or borrowed, and how often these autos are going to be driven, and a lot more.
There are ways to minimize your risk exposures from your hired auto or non owned auto. Some of these are by having regular auto record checks, making sure that the driver does not have a major driving record, imposing a stricter age requirement for the driver, the driving experience, etc. The employer can also try to get feedback about the driver’s driving behavior while they are on the road.
If a company owns their business vehicles that are purely used for work, a commercial auto policy is the best choice. Like personal auto insurance, commercial auto policy covers physical damage, liability coverage, medical expenses in case the driver or the passengers need treatment, and it also covers damages if the one at-fault is either underinsured or uninsured.
Non owned auto liability policy, on the other hand, covers for damages of vehicles that are owned by the employee which they are using for the business of their employer. Non-owned auto liability insurance is for a non owned vehicle of the company and is also not on the lease and is neither a hired auto.
When the employee has their own auto insurance, this will first be applied in case of a claim, and it protects the interest of the employer. Business autos non-owned liability insurance does not apply to other types of vehicles such as golf carts, bicycles, and the like. When its driver causes damage to property or injury, general liability coverage will cover this.
A company that does not have HNOA insurance is putting their assets exposed to risks, so whether this kind of insurance is required in your state or not, it is always better to be on the safe side. Without HNOA insurance and an accident happen, the employer could be held liable. Try to reach out to a reliable and trusted insurance company so they can discuss all the policies involving vehicles. They can help you determine the most appropriate insurance for your business.
There are so many policies available that you could choose, which will help protect your business against liabilities. Besides auto insurance, you may also get other types of policies to get the maximum coverage, such as general liability coverage or a different kind of business insurance. If you are a business owner with more employees, you may also want to get workers’ compensation insurance, etc.
Why Do You Need an HNOA?
This kind of coverage comes in handy for several reasons. Among them is that your employee’s insurance might have already lapsed or that their insurance only has the minimum limits. Another reason may also be that your employee’s vehicle is not well maintained or that their driving record is not within the standards.
HNOA protects your business assets in the event of an accident, so be sure to consider this policy.
What’s Typically Included in 18 Wheeler Insurance
18 wheeler truck insurance essentially covers the following:
Liability Insurance – As per statutory laws, most of the states in the United States require a liability insurance and in fact, if you do not have an 18 wheeler liability insurance, most of the states will not issue the required licenses and permits to you.
Property Damage – If your 18 wheeler is responsible for an accident, then the property damage insurance will cover the repair or replacement costs of the vehicles that were damaged by your truck.
Physical Damage Insurance – This insurance protects your 18 wheeler and also provides protection against other risks and hazards that you may face as the owner of the truck. The physical damage insurance provides the maximum coverage and protection for your 18 wheeler. Irrespective of whether your 18 wheeler is leased out or you are still paying the original vehicle loan, the physical damages insurance helps to prevent the loss of the vehicle and also paying the balance amount.
Comprehensive Physical Damage – This insurance covers the 18 wheeler for a wide range of risks such as vandalism, theft, damage caused by storms and other unforeseen events, except collision or roll-over.
Collision Damage – This insurance pays for the replacements or repairs required in the case that your 18 wheeler overturns or collides with any object.
Specified Peril – Also known as the fire and theft along with Combined Additional Coverage (CAC), this insurance provides coverage for only specific perils that are listed as per the business auto policy.
Underinsured or Uninsured Motorist – If your 18 wheeler or your driver is in an accident, then this insurance prevents you from paying the repair or medical bills, if the driver of the other vehicle is at fault and he is uninsured or underinsured. This insurance will help to pay for the damages and injuries caused to your property or you and if the other drive is incapable of paying the amount.
Some other types of insurance that you may want to consider for your 18 wheeler are:
- Towing Insurance: Towing insurance pays for the expenses that will be incurred if your 18 wheeler needs to be towed away from the accident site.
- Rental Insurance: If your 18 wheeler has been damaged because of an accident, the rental insurance pays the rental cost of hiring a replacement truck.
- Cargo Insurance: This pays for the replacement or repairing of any cargo carried by the 18 wheeler which has been damaged in an accident.
- Trailer Insurance: This insurance protects against any damage caused to the trailer being carried by the 18 wheeler during the time of the accident.
- Trailer Interchange Insurance: If your business is in trailer exchange, then this insurance essentially protects you from losses of trailers that are not owned by your business.
- Unattended Truck Insurance: This insurance pays for any vandalism or theft if the driver has left the truck unattended.
- Accessories Insurance: This pays for repairing or replacing any expensive equipment in your 18 wheeler such as GPS devices, radios, etc.
How Can I save Money on 18 Wheeler Truck Insurance?
You can save money on your insurance for 18 wheelers by:
- By paying the entire premium annually in one go, you can save money on your insurance.
- Another way of lowering the cost of your 18 wheeler insurance is to get quotes from various insurance companies and choose the one that offers the best terms and the lowest rates.
18 Wheeler Truck Insurance Discounts
- Insurance companies offer a variety of discounts to their customers and you need to ask your insurance company for them.
- By paying an annual premium in one amount, your insurance company may offer you a discount of up to 20% or the premium amount.
- Installing various safety equipment in your 18 wheeler such as GPS devices or deer guards can qualify you for discounts.
Getting the right 18 wheeler insurance can be critical to the success of your trucking business. So, it is a good idea to evaluate the insurance policies offered by various companies before deciding on the one that offers you maximum benefits.
GET A QUOTE AND GET COVERAGE TODAY
Our Hired and Non Owned Auto Insurance agents are ready to help you out.