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Hired and Non-Owned Auto Insurance
Protect your tech company when using vehicles you don't own.
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How much does hired and non-owned auto insurance cost?

Hired and non-owned auto insurance (HNOA) protects vehicles that your business uses but does not own. The cost of the policy depends on many factors, including how many vehicles you use and the demographics of your drivers.

What is the average cost of hired and non-owned auto insurance?

Because vehicles used for business purposes have higher liabilities, hired and non-owned auto insurance tends to be more expensive than your personal auto policy. It usually costs about the same as commercial auto insurance.

Although TechInsurance does not have exact figures for hired and non-owned auto insurance policies, you can use the cost information for commercial auto insurance for reference.

What factors affect hired and non-owned auto insurance costs?

Several factors affect the cost of hired and non-owned car insurance, including:

  • The number of company vehicles you use
  • Value of vehicles
  • How often you use the vehicles
  • You and your employees' driving records
  • Demographics of the drivers

Specific industry risks also affect how much you will pay for this policy. For example, you’ll pay more if you use hired and non-owned vehicles to transport more expensive or heavy tech equipment than you’ll pay if you use the vehicle for basic transportation needs. This liability policy would also cost more for companies that hire young employees with poor driving records, as opposed to older, more experienced drivers.

Compare hired and non-owned auto insurance quotes for small businesses

How liability coverage limits affect insurance costs

If you want liability protection that covers a wide range of risks (e.g. property damage, medical bills, bodily injury, legal expenses, etc.), then you will have to pay for a more expensive commercial auto policy. High coverage limits cost more than basic coverage.

Among TechInsurance small business customers, the median limit is $1 million for auto insurance. Businesses with a large fleet of high-value vehicles might choose higher limits to cover potentially higher claims.

How to save money on hired and non-owned auto insurance

A small business can take several steps to reduce the cost of hired and non-owned auto coverage. For example:

  • Only allow experienced drivers with clean records to drive to decrease risk of car accidents
  • Reduce claims by taking safety measures, such as refraining from texting or calling employees while they're on the road
  • Complete frequent car inspections and maintenance

The fewer commercial auto insurance claims your business makes, the less your insurance premiums will cost. Learn how to further reduce liability claims against your business.

How much do other business insurance policies cost?

Updated: July 5, 2022