biBERK Commercial Insurance provides an overview of employee and non-owner auto liability coverage options and common claims

Additional Hire and Non-Owner Automobile Liability Coverage for a Business Owner’s (BOP) or General Liability policy provides liability protection when you or an employee is driving a rented, rented, or borrowed for business purposes. However, it does not cover damage to the vehicle. This type of coverage is necessary if, for example, employees make deliveries for the company
using their own vehicle.

Another example is that many companies rent trucks when they need to make large deliveries. If your employee drives a rental truck,
causes an accident, and the other driver involved in the collision sues your company for the cost of his medical expenses, a hired employee, not an owner
the automobile liability option can protect you.

Delivery man checking the timetable

Does an employee’s personal auto insurance policy cover them while driving for work?

Personal auto insurance may not cover incidents that occur while driving the vehicle for activities such as deliveries or carrying passengers for a fee. A hired and not owned auto liability add-on is crucial in this type of scenario.

The benefit of adding vehicle coverage to property and liability insurance

A business owners insurance policy is also called property and liability insurance. Adding auto liability coverage for employees and non-owners to your policy can be to your advantage because it means you don’t need to have a separate commercial auto insurance policy to this end. More coverage with fewer policies – it’s a real win-win for your business. Additionally, it may be more cost effective to take this approach.

Does a rented, non-owned auto liability add-on protect drivers at all times?

It is important to know that a leased, non-owned automobile liability surcharge only applies when a vehicle is driven for business purposes. If a vehicle is used to get to and from work or to run personal errands, for example, the policy does not cover incidents that do occur.

My employees drive company-owned vehicles. Are they covered by my business owners policy?

The additional hire and non-owner auto liability coverage for a business owners policy is specifically for vehicles that are not belonging to your business. If your business owns vehicles that are used for business purposes, you need commercial auto insurance. It can cover a wide range of vehicles, including:

A commercial automobile policy includes:

  • Personal injury liability cover. This coverage provides payment in the event of bodily injury or death resulting from an accident for which you are responsible. This may also include legal defense costs depending on the type of policy taken out.
  • Material damage civil liability cover. If your vehicle accidentally causes damage to someone else’s vehicle or property, this coverage can protect you. This may include legal defense costs depending on the type of policy taken out.
  • Medical payments, no-fault or bodily injury coverage. This coverage provides payment for all medical expenses that may occur due to injury to an employee or passenger traveling in your vehicle, regardless of who is at fault for an accident.
  • Uninsured motorist coverage. This coverage provides payment for medical expenses or, in some cases, property damage, which may have been caused by a runaway or uninsured driver. Underinsured motorist coverage (where the driver at fault has insurance but not enough insurance to cover the damage caused) may also be included depending on the type of policy.
  • Full bodily injury coverage. This is coverage for vehicles or trailers on your policy for damage to them other than a car accident. Examples include damage resulting from theft, vandalism, flood, fire and other specified perils.
  • Collision coverage. This is coverage for vehicles or trailers on your policy for damage to them caused by a collision with another vehicle or a single car accident.

Other Additions to the Property Damage/Liability Policy

In addition to employee and non-owner auto liability coverage, you can also enhance your property damage/liability policy with other add-ons. This includes:

  • Cyber-responsibility. This supplemental insurance protects you in the event of an incident such as a data breach involving the personal information of a client, employee or customer. It can also provide coverage for the defense of regulatory action if a government agency asks you to appear in court.
  • Responsibility for Employment Practices. This endorsement protects your company in the event of a claim or lawsuit related to improper behavior in the workplace (for example, wrongful termination, harassment or discrimination).
  • Employee benefits liability. This addition provides coverage for errors or omissions in the way you administer your benefits program. For example, it can protect you if you are unable to add an employee to your medical insurance and the person is then denied coverage by the plan.
  • Contractors installation, tools and equipment. This insurance covers property, tools, equipment, etc. your business while on a job site, in transit, temporarily in storage, or during installation.
  • Liability for alcohol. This add-on covers liability your business may incur as a result of the sale, service or supply of alcoholic beverages.

Does it matter where I purchase my Business Owner Auto Liability Supplemental Policy and my Business Owners?

Many insurance companies may offer an auto liability add-on for business owners and business owners. However, thanks to our direct approach, biBERK can provide insurance up to 20% cheaper than other insurance companies. Plus, we’re a commercial insurance company with reassuring credentials. We are part of Warren Buffett’s Berkshire Hathaway Insurance Group with millions of satisfied customers, over 75 years of insurance experience and $38 billion in claims paid in 2020.

In addition, we allow you to obtain a quick and free quote on our website. It only takes a few minutes, just like buying a policy online or reporting a claim.

So, yes, it doesn’t matter where you get insurance for your business. You can trust biBERK for simplified business insurance!

About biBERK Trade Assurance

biBERK can help you with all of your small business insurance needs, including: commercial auto, general liability, property and liability, umbrella, and workers’ compensation.

Media Contact:
Rakesh Gupta | 402-408-2870


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