Commercial Auto Insurance
Insuring Employees Who Drive Company Vehicles
Insuring Employees Driving Company Vehicles — everything contractors need to know to stay protected on the road and on the job.
Call (234) 231-8427 — Mon–Fri 9AM–5PM EST
Are Your Employees Covered When They Drive Company Trucks?
As a contractor, your vehicles are central to your business — hauling materials, reaching job sites, and transporting equipment. Commercial auto insurance protects your trucks, vans, and specialized vehicles from liability, collision, and comprehensive losses that personal policies won’t cover.
Listed Drivers vs. Any Employee
Most commercial auto policies allow any employee with a valid license to drive listed vehicles. However, some insurers require all regular drivers to be listed by name. Failing to disclose high-risk drivers can void claims.
Motor Vehicle Record (MVR) Checks
Carriers will run MVRs on all listed drivers at quote and renewal. Drivers with DUIs, multiple speeding violations, or at-fault accidents within 3–5 years will increase your premium significantly or trigger exclusions.
Named Driver Exclusions
If a high-risk employee’s driving record is too problematic, the insurer may add a named driver exclusion — meaning claims are not covered if that person is driving. This protects the policy but leaves you exposed if that employee is behind the wheel.
Employee Hired or Non-Owned Auto
If employees occasionally use their personal vehicles for work tasks — running to a supplier, visiting a project site — hired and non-owned auto (HNOA) coverage fills the gap your commercial policy leaves. This is critical protection most contractors overlook.
Vicarious Liability
As the employer, you’re vicariously liable for your employees’ actions while driving on company business. A serious accident caused by an employee can result in claims against both the driver and your company. Adequate liability limits — $1M CSL minimum — are essential.