Non-owned auto insurance for business
Non-owned auto insurance protects a business when a car it does not own, rent or borrow is driven on its business, such as an employee's car on a bank run, and the person hurt in the crash holds the business responsible. It pays the business's liability as excess over any other collectible insurance, and it does not repair the car. It is written as Symbol 9 on a business auto policy, BP 04 04 on a BOP, or a carrier policy such as State Farm's ENOL; ISO's general liability and businessowners forms exclude autos "owned or operated by or rented or loaned to any insured."
Updated . Written by Andre Beukers, principal at Redoubt, a commercial insurance agency in Salt Lake City, not a government office.
Which cars count as non-owned autos for a business?
Any car the business does not own, lease, hire, rent or borrow, while it is used in connection with the business. ISO's business auto form defines Symbol 9 as "Only those 'autos' you do not own, lease, hire, rent or borrow that are used in connection with your business," and says it "includes 'autos' owned by your 'employees', partners (if you are a partnership), members (if you are a limited liability company) or members of their households but only while used in your business or your personal affairs." The BOP endorsement BP 04 04 uses nearly the same words. Progressive says its non-owned coverage applies when "employees, volunteers, or others use their personal vehicles for your business activities."
Two lines decide the edge cases. Symbol 8, hired autos, takes what you lease, hire, rent or borrow, but it "does not include any 'auto' you lease, hire, rent or borrow from any of your 'employees'," partners, members or their households, so the pickup borrowed from your foreman for a day stays a non-owned auto. And the form says "the words 'you' and 'your' refer to the Named Insured shown in the Declarations." Our reading: if the policy is in your own name as a sole proprietor, your personal car is one "you" own, so Symbol 9 would not reach it. Ask the carrier how its form treats that car.
When the policy is issued to an LLC, a member's personally titled car is an auto the LLC does not own, and Symbol 9 names members' cars outright. A medical courier LLC told Redoubt by text in September 2026 that its deliveries would run in a personally owned minivan and that it needed business insurance and a certificate for its customers.
| Vehicle | Non-owned auto? | Why |
|---|---|---|
| An employee's own car on a bank run | Yes | Symbol 9 names employees' cars |
| A pickup borrowed from your foreman | Yes | Symbol 8 leaves out autos borrowed from employees |
| A volunteer's SUV carrying event supplies | Yes | Not owned, hired or borrowed by you; Progressive names volunteers |
| A car rented at an airport counter | No, hired | Symbol 8 |
| A van titled to the business | No, owned | Symbol 9 is autos you do not own |
| A sole proprietor's own car, policy in the owner's name | Not by our reading | "You" is the named insured; ask the carrier |
| An LLC member's own car, policy in the LLC's name | Yes, for the LLC | Symbol 9 names members' cars |
| An independent contractor's truck | Depends | Progressive: on the policy language and the relationship |
What does non-owned auto coverage pay for, and what does it leave out?
Claims against the business. The business auto form pays "all sums an 'insured' legally must pay as damages because of 'bodily injury' or 'property damage'" from an accident involving a covered auto, and the insurer has "the right and duty to defend any 'insured' against a 'suit' asking for such damages." State Farm says its employers' non-owned car liability (ENOL) "may help provide coverage to protect your business if your employee is at fault for an accident while using their vehicle and you are sued as the business owner."
It pays second. For any covered auto you don't own, the business auto form's insurance "is excess over any other collectible insurance," and BP 04 04 is "excess over any primary insurance covering the 'hired auto' or 'non-owned auto'." Other collectible insurance, such as the car owner's personal policy when it covers the trip, comes first, and State Farm notes that "Some personal auto policy contracts exclude business driving."
What it leaves out. Progressive says "Physical damage to the hired or non-owned vehicle isn't covered" and that an injured employee needs workers' compensation, and State Farm says "Employees are responsible for purchasing personal auto coverage for their own vehicles." On the standard forms the employee who owns the car is not an insured; ISO's CA 99 33, Employees As Insureds, is the endorsement that adds employees.
Can a business buy non-owned auto without hired auto?
Yes, on both ISO forms. BP 04 04's schedule lists Hired Auto Liability and Non-owned Auto Liability on separate lines, each with its own premium, and "Insurance is provided only for those coverages for which a specific premium charge is shown in the Declarations or in the Schedule." A premium on the non-owned line alone buys non-owned alone, covering injury or damage "arising out of the use of any 'non-owned auto' in your business by any person." On a business auto policy, "The symbols entered next to a coverage on the Declarations designate the only 'autos' that are covered 'autos'," so Symbol 9 can sit beside liability without Symbol 8.
Carriers package it their own way. State Farm calls its version ENOL and says "hired car coverage can be added to extend liability" when vehicles are hired, leased or loaned for short-term use. Progressive says hired and non-owned "are separate coverages" and that its non-owned insurance "may be an option if fewer than 10 employees use their own vehicles for work."
General liability will not stand in for it. ISO's CG 00 01 excludes injury or damage from any auto "owned or operated by or rented or loaned to any insured," it makes your employees insureds for acts within the scope of their employment, and the exclusion "applies even if the claims against any insured allege negligence or other wrongdoing in the supervision, hiring, employment, training or monitoring of others by that insured." The businessowners form carries the same auto exclusion; for the coverage BP 04 04 adds, the endorsement deletes the BOP's liability exclusions other than a short list it keeps and substitutes its own.
Is non-owned auto for a business the same as non-owner car insurance?
No. One insures a business, the other a person. Utah's insurance code has a name for a policy written on a driver rather than on a car, an operator's policy, and says it must "insure the person named as insured against loss from the liability imposed upon him by law for damages arising out of the insured's use of any motor vehicle not owned by him." Progressive describes its personal product the same way: "A non-owner car insurance policy primarily covers you as the driver, not a specific car."
Business non-owned auto runs the other way: on the business auto form the business is the insured "for any covered 'auto'," and the coverage answers the claim made against it. What an employee's own non-owner policy does on a business errand depends on that policy's wording.
How much non-owned auto liability does a business need?
Enough to cover what a claim against the business leaves after any other collectible insurance has paid. Under Utah Code 31A-22-304, a policy issued or renewed on or after January 1, 2025 cannot carry less than $30,000 per person, $65,000 per accident and $25,000 for property damage, or a $90,000 single limit. Utah's Division of Risk Management tells state employees who drive their own cars on state business that "the employee’s auto insurance is primary to any other coverage that may apply," and that "insurers often have clauses that reduce or 'step down' liability coverage to the minimum liability limits required by state law when the vehicle is used for business purposes." That is the State's guidance to its own employees; whether a given personal policy steps down depends on its wording.
How the limit works depends on where the coverage sits. On a business auto policy the cap is the Covered Autos Liability limit on the declarations for each accident, "Regardless of the number of covered 'autos', 'insureds', premiums paid, claims made or vehicles involved in the 'accident'." On a BOP, BP 04 04 applies the BOP's Business Liability coverage to non-owned autos and adds no limit wording of its own, so ask the carrier how its BOP edition applies the policy's limits to an auto claim before relying on it.
When a client contract names an auto liability limit that includes non-owned vehicles, that written requirement, not the state minimum, is the limit to carry.
How does non-owned auto show on a certificate of insurance?
The ACORD 25 certificate's automobile liability row has a box for non-owned autos beside any auto, owned, scheduled and hired. A checked box is information only: the form says it "DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW." Symbol 9 on the declarations, or a premium on the BP 04 04 non-owned line, is what the policy itself shows.
What does non-owned auto insurance cost?
We found no primary source publishing an average premium for non-owned auto alone; State Farm's and Progressive's pages give no figure, and State Farm says its "Prices are based on rating plans that may vary by state." On a BOP it carries its own premium on the BP 04 04 schedule or the declarations.
Does "your personal affairs" in Symbol 9 cover an employee's own errands?
No. In the business auto form "you" and "your" mean the named insured, so the phrase reaches an employee's car while it is used on the named insured's affairs, not the employee's. Progressive says its coverage "doesn't apply when an employee uses their car for non-work driving, like commuting or personal errands."
Where these answers come from
Each entry carries the exact words of the source so you can check it yourself. Forms, rules and carrier pages change; read the current version before acting.
- 1. ISO CA 00 01 11 20, Business Auto Coverage Form, Section I, Symbol 9, Non-owned "Autos" Only
“Only those "autos" you do not own, lease, hire, rent or borrow that are used in connection with your business. This includes "autos" owned by your "employees", partners (if you are a partnership), members (if you are a limited liability company) or members of their households but only while used in your business or your personal affairs.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 2. ISO CA 00 01 11 20, Section I, Symbol 8, Hired "Autos" Only
“Only those "autos" you lease, hire, rent or borrow. This does not include any "auto" you lease, hire, rent or borrow from any of your "employees", partners (if you are a partnership), members (if you are a limited liability company) or members of their households.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 3. ISO CA 00 01 11 20, Section I, Covered Autos
“The symbols entered next to a coverage on the Declarations designate the only "autos" that are covered "autos".”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 4. ISO CA 00 01 11 20, preamble, who "you" is
“Throughout this Policy, the words "you" and "your" refer to the Named Insured shown in the Declarations.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 5. ISO CA 00 01 11 20, Section II, Covered Autos Liability Coverage, A. Coverage
“We will pay all sums an "insured" legally must pay as damages because of "bodily injury" or "property damage" to which this insurance applies, caused by an "accident" and resulting from the ownership, maintenance or use of a covered "auto".”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 6. ISO CA 00 01 11 20, Section II, A. Coverage, duty to defend
“We have the right and duty to defend any "insured" against a "suit" asking for such damages or a "covered pollution cost or expense".”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 7. ISO CA 00 01 11 20, Section II, A.1. Who Is An Insured
“The following are "insureds": a. You for any covered "auto". b. Anyone else while using with your permission a covered "auto" you own, hire or borrow except:”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 8. ISO CA 00 01 11 20, Section II, A.1.b.(2), employee's own auto
“Your "employee" if the covered "auto" is owned by that "employee" or a member of his or her household.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 9. ISO CA 00 01 11 20, Section IV, B.5. Other Insurance
“For any covered "auto" you don't own, the insurance provided by this Coverage Form is excess over any other collectible insurance.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 10. ISO CA 00 01 11 20, Section II, C. Limit Of Insurance
“Regardless of the number of covered "autos", "insureds", premiums paid, claims made or vehicles involved in the "accident", the most we will pay for the total of all damages and "covered pollution cost or expense" combined resulting from any one "accident" is the Limit Of Insurance for Covered Autos Liability Coverage shown in the Declarations.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO CA 00 01 11 20, Business Auto Coverage Form; a carrier's own form, if it uses one, controls. - 11. ISO BP 04 04 01 10, Hired Auto And Non-Owned Auto Liability, Schedule
“Coverage Additional Premium A. Hired Auto Liability $ B. Non-owned Auto Liability $”
assets.touchpointmarkets.com, accessed October 3, 2026. Column headings and rows of the endorsement's schedule in printed order (pdftotext -layout; plain pdftotext scrambles this block); the premium cells are blank on the specimen. ISO BP 04 04 01 10, the edition held by Redoubt's forms library; it modifies the Businessowners Coverage Form. - 13. ISO BP 04 04 01 10, A.2. Non-owned Auto Liability
“The insurance provided under Paragraph A.1. Business Liability in Section II – Liability applies to "bodily injury" or "property damage" arising out of the use of any "non-owned auto" in your business by any person.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO BP 04 04 01 10, the edition held by Redoubt's forms library; it modifies the Businessowners Coverage Form. - 14. ISO BP 04 04 01 10, D.3., definition of non-owned auto
“"Non-owned auto" means any "auto" you do not own, lease, hire, rent or borrow which is used in connection with your business. This includes "autos" owned by your "employees", your partners or your "executive officers", or members of their households, but only while used in your business or your personal affairs.”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO BP 04 04 01 10, the edition held by Redoubt's forms library; it modifies the Businessowners Coverage Form. - 15. ISO BP 04 04 01 10, B.1., the BOP's liability exclusions replaced for this endorsement
“The exclusions under Paragraph B.1. Applicable To Business Liability Coverage in Section II – Liability, other than Exclusions a., b., d., f. and i. and the Nuclear Energy Liability Exclusion, are deleted and replaced by the following:”
assets.touchpointmarkets.com, accessed October 3, 2026. Introduced by "For insurance provided by this endorsement only:". The page relies only on this sentence, not on how the exclusion letters line up with a given BOP edition. ISO BP 04 04 01 10, the edition held by Redoubt's forms library; it modifies the Businessowners Coverage Form. - 16. ISO BP 04 04 01 10, C., Other Insurance
“This insurance is excess over any primary insurance covering the "hired auto" or "non-owned auto".”
assets.touchpointmarkets.com, accessed October 3, 2026. ISO BP 04 04 01 10, the edition held by Redoubt's forms library; it modifies the Businessowners Coverage Form. - 17. ISO BP 00 03 08 24, Businessowners Coverage Form, Section II, exclusion g., Aircraft, Auto Or Watercraft
“"Bodily injury" or "property damage" arising out of the ownership, maintenance, use or entrustment to others of any aircraft, "auto" or watercraft owned or operated by or rented or loaned to any insured.”
law.com, accessed October 3, 2026. Specimen hosted on law.com; the forms library records no second public host at this edition. - 18. ISO CG 00 01 12 25, Commercial General Liability Coverage Form, exclusion g., Aircraft, Auto Or Watercraft
“"Bodily injury" or "property damage" arising out of the ownership, maintenance, use or entrustment to others of any aircraft, "auto" or watercraft owned or operated by or rented or loaned to any insured.”
assets.touchpointmarkets.com, accessed October 3, 2026 - 19. ISO CG 00 01 12 25, exclusion g., negligent supervision and hiring claims
“This exclusion applies even if the claims against any insured allege negligence or other wrongdoing in the supervision, hiring, employment, training or monitoring of others by that insured,”
assets.touchpointmarkets.com, accessed October 3, 2026. The sentence continues: when the occurrence involved an auto owned or operated by, or rented or loaned to, any insured. - 20. ISO CG 00 01 12 25, Section II, 2.a., employees as insureds
“your "employees", other than either your "executive officers" (if you are an organization other than a partnership, joint venture or limited liability company) or your managers (if you are a limited liability company), but only for acts within the scope of their employment by you or while performing duties related to the conduct of your business.”
assets.touchpointmarkets.com, accessed October 3, 2026. Introduced by "Each of the following is also an insured:". - 21. ISO CA 99 33 10 13, Employees As Insureds
“Any "employee" of yours is an "insured" while using a covered "auto" you don't own, hire or borrow in your business or your personal affairs.”
iiat.org, accessed October 3, 2026 - 22. ACORD 25 (2016/03), Certificate of Liability Insurance, automobile liability row, blank form hosted by the New York Department of Financial Services
“AUTOMOBILE LIABILITY SCHEDULED AUTOS NON-OWNED AUTOS ONLY”
dfs.ny.gov, accessed October 3, 2026. Check-box labels as extracted by pdftotext; the same row also carries ANY AUTO, OWNED AUTOS ONLY and HIRED AUTOS ONLY. - 23. ACORD 25 (2016/03), heading disclaimer
“THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.”
dfs.ny.gov, accessed October 3, 2026 - 24. State Farm, Employers' Non-Owned and Hired Car Coverages, what is ENOL
“State Farm® ENOL may help provide coverage to protect your business if your employee is at fault for an accident while using their vehicle and you are sued as the business owner.”
statefarm.com, accessed October 3, 2026. A carrier describing its own product. - 25. State Farm, Employers' Non-Owned and Hired Car Coverages, what is hired car coverage
“If vehicles are hired, leased or loaned for short-term use in your business, hired car coverage can be added to extend liability.”
statefarm.com, accessed October 3, 2026. The same page says liability and physical damage "may be added to an ENOL policy" for vehicles rented, leased or loaned for short-term use. - 26. State Farm, Employers' Non-Owned and Hired Car Coverages, coverage is limited
“Employees are responsible for purchasing personal auto coverage for their own vehicles. ENOL is intended to help protect the business.”
statefarm.com, accessed October 3, 2026 - 27. State Farm, Employers' Non-Owned and Hired Car Coverages, FAQ, can the business owner get by with personal auto insurance
“Some personal auto policy contracts exclude business driving, so you may not be covered if an accident occurred while driving a personal vehicle for work.”
statefarm.com, accessed October 3, 2026 - 28. State Farm, Employers' Non-Owned and Hired Car Coverages, disclosures
“Prices are based on rating plans that may vary by state. Coverage options are selected by the customer, and availability and eligibility may vary.”
statefarm.com, accessed October 3, 2026. The page publishes no premium figure. - 29. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, what is non-owned auto insurance
“Non-owned auto insurance applies when employees, volunteers, or others use their personal vehicles for your business activities. If they cause an accident while doing work for you, your business could be held responsible even though you don't own the car.”
progressivecommercial.com, accessed October 3, 2026. A carrier describing its own coverage; quoted as what Progressive says. - 30. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, overview
“Although hired and non-owned insurance are separate coverages, they can complement each other.”
progressivecommercial.com, accessed October 3, 2026 - 31. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, can you have both
“Non-owned insurance may be an option if fewer than 10 employees use their own vehicles for work.”
progressivecommercial.com, accessed October 3, 2026. Progressive's own eligibility, not a market rule. The page publishes no premium figure. - 32. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, FAQ on independent contractors
“Does HNOA insurance cover accidents involving independent contractors? That depends on the policy language and the contractor's relationship with your business.”
progressivecommercial.com, accessed October 3, 2026 - 33. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, what it doesn't cover
“Physical damage to the hired or non-owned vehicle isn't covered.”
progressivecommercial.com, accessed October 3, 2026 - 34. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, employee injuries
“You'll need a separate workers' comp insurance policy to protect your employees for work-related injuries or illnesses.”
progressivecommercial.com, accessed October 3, 2026 - 35. Progressive Commercial, What Is Hired and Non-Owned Auto Insurance?, personal use
“HNOA doesn't apply when an employee uses their car for non-work driving, like commuting or personal errands.”
progressivecommercial.com, accessed October 3, 2026 - 36. Progressive, What Is Non-Owner Car Insurance? (personal auto, updated January 15, 2026)
“A non-owner car insurance policy primarily covers you as the driver, not a specific car.”
progressive.com, accessed October 3, 2026. A carrier describing its own personal product; the phrase after "covers" is a link on the page. - 37. Utah Code 31A-22-303(1)(a)(ii)(B), operator's policy
“if it is an operator's policy, insure the person named as insured against loss from the liability imposed upon him by law for damages arising out of the insured's use of any motor vehicle not owned by him”
le.utah.gov, accessed October 3, 2026. Version effective May 3, 2023. - 38. Utah Code 31A-22-304(2), minimum limits for policies issued or renewed on or after January 1, 2025
“a policy issued or renewed on or after January 1, 2025, containing motor vehicle liability coverage may not limit the insurer's liability under that coverage below the following: (a) (i) $30,000 because of liability for bodily injury to or death of one person”
le.utah.gov, accessed October 3, 2026. The subsection continues with $65,000 for two or more persons and $25,000 for property damage, or $90,000 single limit. Policies issued or renewed on or before December 31, 2024 were held to 25/65/15. - 39. Utah Division of Risk Management, FAQs and Forms, Can I use my personal car for state business?
“If a state employee uses a personal vehicle on state business, the employee’s auto insurance is primary to any other coverage that may apply.”
risk.utah.gov, accessed October 3, 2026. The State's guidance to its own employees about its own coverage. - 40. Utah Division of Risk Management, FAQs and Forms, step-down clauses
“Each private auto insurance policy is different, but insurers often have clauses that reduce or “step down” liability coverage to the minimum liability limits required by state law when the vehicle is used for business purposes.”
risk.utah.gov, accessed October 3, 2026. Quoted as what the Division tells state employees; whether a given personal policy steps down depends on its own wording. - 41. Redoubt text thread, medical courier LLC, September 2, 2026
“P: I’ll use my personally owned minivan to deliver medical supplies, lab specimens, prescriptions/pharmaceuticals, and documents. I need business insurance and a COI for customers.”
Redoubt agency records, accessed September 2, 2026. Redoubt's own experience only. The prospect is not named on the page.
Employees drive their own cars for the business and the owner wants to know who pays
Hired and non-owned auto: what it covers, what it does not, the employee's own policy, and the employer's exposure.
Elsewhere on the site
Not sure your policy has non-owned auto?
Send Redoubt your declarations page and tell us who drives for the business in cars it does not own: employees, owners, volunteers or contractors. We will say whether Symbol 9 or BP 04 04 is on the policy, what limit it carries, and what to ask the carrier.
This is general insurance information, not legal advice or a coverage determination. The policy forms, the endorsements the carrier issues, and the requirement in writing from whoever is asking control.