The Things You Should Know About Hired Auto Coverage
Hired Auto Coverage is also commonly known as Non-Owner Auto Coverage. This is a type of insurance which provides coverage for hiring or renting any vehicles for business. This insurance policy can be bought independently. However, it can also be incorporated as an endorsement in a General Liability Insurance Policy. There is one thing you must take a note of. You or your business are not actually required to own the vehicle to enjoy the full benefits of policy.
Hired auto insurance coverage can be extremely beneficial for small business owners. That is because most small businesses cannot afford to waste resources on buying vehicles for operations. Especially when their auto-related operations are limited. They mostly use hired auto vehicles for operations on the instances where they actually need such amenity. The issue of proximity must also not be avoided. If I was in your place, I would choose a company to provide me hired auto insurance near me.
A commercial auto insurance has an equal, if not more importance in a corporate setting.
An Additional Advantage
You can use an auto rental company to hire vehicles for your or your business. The rental company will usually make it necessary for you to get a liability coverage for the vehicle. However, you must remember that a liability coverage can bring more headache than comfort. Moreover, it is also expensive. You can avoid getting yourself entangled into the mess of auto liability if you just purchase a hired auto insurance. This way no rental company will be able to pressure you into buying the detested liability coverage.
Coverage Parameters
The road is not a safe place. It is possible for you to get in an accident in your rental auto vehicle. In such circumstances, the hired auto coverage will provide the necessary coverage for;
- Bodily Injury inflicted as a result of the collision by you or your employees.
- Property Damage caused as a result of the collision by you or your employees.
Legal Importance of Hired Auto Coverage
It is legally required for a business owner to provide hired auto insurance to the respective employees. The law varies in every state by small measures. The state of Texas also has a law regarding this coverage. It is required for you to carry 30,000$ coverage for injuries per person and 25,000$ for property damage.
Limitation of Hired Auto Coverage
A hired auto coverage does not cover damages caused to your auto vehicle by the collision. A separate policy is required to cover those damages. This separate policy is called commercial auto insurance and it can be bought at any competent auto insurance company. However, the victim of the collision still holds the right to sue you or your employee for the collision.
Hired Auto Coverage in Terms of Liability
The insurance policies designed for a personal use typically do not include the personal auto liability. That is why;
- Hired auto coverage is designed to help you full the gap in your liability insurance for the work relevant driving. You can even include the specific liability coverage you might need for your hired auto vehicle. You must remember that the commercial insurance can adequately address the liability that may fall unto the company. However, it cannot adequately address the personal liability requirements for the driver; be it you or your employee. The person sitting in the driving seat may still be held liable for the physical or property damages caused.
- Hired Auto Coverage can also help you pay off the legal expenses. You need not worry if you are sued over an auto vehicle accident while carrying put some business-related errand. In such cases, the coverage parameters will remain the same. Which means that the company’s liability will be covered to the full extent of the policy. However, the person sitting in the driving seat may still be held liable for the physical or property damages caused.
Importance of Hired Auto Coverage
There are many instances where you might find it extremely beneficial for your business if you bought hired auto Insurance Following are a few such cases;
- Every office need someone to carry out the mundane errands. You can send your errand boy to buying office supplies, receive or send goods to a shipping company. you can as simple as want a lunch from your favorite joint. All such errands can be quickly carried with an auto vehicle.
- You or an employee might go and visit a foreign city, state or country for business purposes. It would be prudent that you hire an auto vehicle for commuting. It is better than buying one.
- You might get visiting client or potential partner for your business and you might feel the need to impress them. As such, you can hire a luxury vehicle for commuting to give a certain impression.
- If there is a collision, you can get sued for the damages caused in terms of injuries or property damage. In such cases, you will need this insurance.
In any of the above-mentioned scenarios, a simple personal auto insurance might not be enough. Your personal auto insurance can protect you in countless cases. The hired auto insurance is designed to provide coverage in all the above-mentioned cases, and more.
Get Access to The Best Hired Auto Coverage Deals
SGA Financial Inc. is a Texas based insurance provider which has proven time and again to be among the best. We have worked tirelessly for years to develop this trust in our clientele. We can provide you with complete information on your need for hired auto coverage and give you suitable coverage. All the potential risks will be analyzed and minimized. Our services are cheap compared to many insurance providers in the market. SGA Financial Inc. is the best hired auto insurance company to fulfill your needs in a limited budget.
