HNOA Insurance

Hired And Non-Owned Automobile Insurance Coverage For Small Businesses

B2Z Offers Hired And Non-Owned Automobile Insurance (HNOA)

Small businesses sometimes rely on their employees to provide transportation via their personal or rented vehicles for business purposes. However, if you or your employee causes an accident, your business could be liable for third-party damages totalling thousands or more. In those scenarios, HNOA coverage can provide both liability for bodily injuries and property damage. Do you need this coverage for your small business? What does Hired And Non-Owned Automobile insurance typically cover or not cover? We’ve done the research for you below.

What You Need to Know About HNOA Insurance

  1. Q
    What is Hired And Non-Owned Automobile Insurance?
    A

    HNOA can protect your business from losses involving vehicles that are driven for business purposes but are personally owned by your employees or rented by your company or employees.

  2. Q
    Why do I need Hired And Non-Owned Automobile Insurance for my small business?
    A

    If you rely on your employees to drive for your business duties and they perform those duties in their personal vehicle or a rented auto, you should consider HNOA coverage for your small business.

  3. Q
    How does Hired And Non-Owned Automobile Insurance work?
    A

    After you purchase HNOA coverage, you pay a monthly or annual premium (based on the limits chosen and the business details provided). Policy documents are made available to you and represent the contract between you and the insurance company. When your business experiences a coverable event, submit all relevant details with your claim through the B2Z Portal. The insurance company will then consider your limits, deductible, and the claim amount.

  4. Q
    What does a Hired And Non-Owned Automobile Insurance typically cover?
    A

    HNOA provides coverage for the following: medical expenses and property damage claimed by third-parties; as well as, legal fees associated with any claims and/or judgements. What is covered by this coverage will be fully detailed in the policy documentation.

  5. Q
    What doesn’t a Hired And Non-Owned Automobile Insurance typically cover?
    A

    HNOA does not cover vehicles that are owned or regularly operated by your business; or damage to the hired or non-owned automobile (this is generally covered by a personal auto insurance policy or rental car agreement).

Because You Can Never Have TMI (Too Much Information) When It Comes to Insurance

Do your employees routinely use their personal vehicle to perform their job duties? Do your team members rent vehicles to carry out business tasks like meeting with remote clients? Many small businesses rely on their employees to provide transportation via their personal or rented vehicles for business purposes. This coverage typically provides both liability for bodily injuries and property damage to third-parties involved in accidents.

Man looking in rear-view mirror driving to client location

Keep In mind these statistics...

  • Vehicle Accidents. There were over 6.7 million motor vehicle accidents reported to police in the US in 2018
  • Work-Related Accidents. 40% of all accidents happened during a work-related activity; and accidents involving non-fatal injuries can cost an average of $78,000.

And consider these scenarios...

  • A computer technician who works for your company is driving their personal car to a client’s location and they hit a cyclist. HNOA would typically cover the cyclist’s medical and damages costs.
  • Your assistant is involved in an auto accident while driving their car to drop off a business package at the post office. The other driver involved sues your business for their medical bills and vehicle repairs. HNOA would typically cover your legal costs and any judgment against your business.

What’s Typically Covered by a Hired And Non-Owned Automobile Insurance

HNOA insurance typically covers:

  • Medical expenses if someone else is injured
  • Damage to someone else’s property
  • Attorney fees, and related legal and judgement costs assessed to your business
  • For personal autos, coverage kicks in once you or your employee’s personal automobile coverage has reached its limit

What Isn’t Typically Covered by a Hired And Non-Owned Automobile Insurance

HNOA insurance typically does not cover…

  • Vehicles owned or regularly operated by your business
  • Physical damage to the hired or non-owned automobile (generally covered by a personal auto insurance policy or rental car agreement)
  • Damage to property being transported such as sales samples.