What Is Hired & Non-Owned Auto (HNOA), and Do You Need It?
Jeff Friedlander, Managing Member·5 min read
It’s the coverage almost every business needs and almost none of them know they’re missing.
The gap
When your employee drives their own car on a work errand and causes an accident, their personal policy is primary — but it carries low limits and often excludes business use. When it taps out, the injured party sues the deep pocket: your business. Your commercial policy, meanwhile, only lists vehicles you own. The employee’s car isn’t on it. That’s the gap.
What HNOA covers
Hired and non-owned auto is a liability extension covering two situations: vehicles you hire (rent or borrow) and vehicles you don’t own but use for work (employees’ personal cars). It protects the business from the lawsuit — read the full detail on our HNOA coverage page.
Who needs it
If staff ever run errands in their own cars, you rent vehicles occasionally, or you reimburse mileage, you need it. Even businesses with zero owned vehicles often need HNOA. At $150–$400 a year, it’s the best value in commercial auto.