What Is Hired and Non-Owned Auto Insurance?
Hired and non-owned auto (HNOA) insurance protects a business’s liability when employees use personal cars for work or the company rents vehicles.
It generally does not pay for damage to those cars. The California commercial guide identifies hired and non-owned autos as possible parts of a Business Auto Policy. The exact definitions and eligibility come from the policy or endorsement, not from the shorthand label.
This coverage is usually relevant when an employee drives their own car to a work errand or a company rents a vehicle. It does not automatically replace the driver’s personal auto insurance, and it does not necessarily pay to repair the rented or employee-owned vehicle. Physical damage and liability are separate coverages.
Ask for the actual endorsement and confirm the named insured, covered uses, employees or other drivers included, limits, exclusions, and whether hired-auto physical damage is available. Check any employee reimbursement or rental procedures against those terms.
