A review of a commercial insurance program sometimes fails to produce a business auto policy, and it’s explained that “the insured owns no autos.” With few exceptions, operating business entities still face auto liability exposures from non-owned autos, and frequently from hired autos, as well.

In today’s litigious society, accident claimants will often seek recovery from as many sources as can be found. It’s not difficult to imagine scenarios wherein any company with employees (and possibly not even operating from a physical location) can still be sued based on non-owned auto liability in the aftermath of a motor vehicle accident.

The classic example exists of an employee using their personal vehicle for a work errand. At the accident site, the employee mentions, “I was just on an errand for XYZ Company,” and XYZ Company ends up being named in an ensuing lawsuit, particularly if the employee doesn’t have sufficient liability limits on his personal auto policy.