Does Your Business Need Insurance for Non-Owned Autos?

Does Your Business Need Insurance for Non-Owned Autos?

If your company has cars that are used for business purposes, then you probably need commercial auto insurance. When you purchase this policy from Southern Oaks Insurance, it is important to determine if you need coverage for non-owned autos.

Non-Owned Autos

A non-owned auto is one that your business does not personally own, hire, lease, borrow, or rent. There are many instances when a business might utilize a non-owned auto, including the following:

  • Employees using their personal autos for business purposes
  • Volunteers using personal autos
  • Friends or neighbors using their cars to help a business


Although your business does not personally own the car in the above circumstances, there are situations where they could be liable. In terms of insurance, this is often referred to as a vicarious liability. Although the auto is not owned by the business, they could be held liable during a negligent act because the vehicle was used for business purposes.

Coverage Options

To protect your business from accidents involving non-owned autos, it is important to choose the right coverage. In many cases, you can choose to insure these non-owned vehicles as part of your commercial auto insurance.

Contact Southern Oaks insurance today to determine if your policy covers non-autos. This is an important protection for many businesses.