An employee at a bakery ran an errand for the business in her own car and caused an accident.
Her personal auto policy covered what it covered. Then the injured party looked past her and found the business — because she was on the clock, running a business errand, at her employer's direction.
The business had no coverage for it. They didn't own the vehicle, so they'd never thought about auto exposure at all.
Here's the gap: Hired and Non-Owned Auto covers your liability when employees drive vehicles you don't own for business purposes. Errands. Bank runs. Client deliveries. Picking up supplies.
Most businesses assume "we don't have company vehicles" means "we don't have auto risk." It means the opposite — you have the risk and none of the coverage.
This week: If anyone at your company ever drives their own car for work, ask your agent to quote Hired and Non-Owned Auto. It typically runs a few hundred dollars a year.
That's the whole email. Talk Tuesday.
John Crist
Prestizia Insurance
Author, The Prestizia Protection Playbook