Staffing firms provide a valuable service to businesses by providing staff on a temporary, temp to hire or contractual basis. Unfortunately, the unique business platform staffing firms operate in also leaves them exposed to different types of liabilities than traditional businesses. If employees plan to operate a client’s vehicles, staffing firms should protect themselves with hired and non owned auto insurance often not included in a traditional auto policy.
Hired vs. Non Owned Vehicle
If an employee of a staffing firm rents a vehicle, they would be using a hired car. Rental companies often offer additional coverage for their vehicles at a premium price. If they are using a client’s vehicle, they are operating a non-owned automobile. Both instances need to be covered in the event an employee conducts staffing firm business in the vehicle or operates one owned by a client to conduct their business.
Covered vs Non-covered Risks
Each hired and non owned auto insurance policy is tailored to the company’s risks and liabilities. Most covered both hired and non owned vehicles operated by employees, but they also usually cover vehicles owned by the staffing firm itself. Protect your employee and the company from potential liabilities such as property damage and bodily harm while they operate the vehicle for business purposes.