Hired & Non-Owned Auto Tree Service Insurance
HNOA covers the gap your Commercial Auto policy leaves when an employee uses a vehicle the company doesn't own — a rented truck for a storm-response trip, a borrowed trailer from another contractor, or an employee's personal vehicle running an errand for the business. When that vehicle is in an at-fault accident, HNOA is what stands between the loss and your business.
Coverage for Vehicles Not on Your Auto Schedule
Most tree contractors carry a Commercial Auto policy that schedules every vehicle they own — bucket trucks, knuckle-boom trucks, chip trucks, pickup trucks, trailers. That schedule is the list of vehicles the policy covers. If a vehicle isn't on the schedule, the policy generally doesn't cover it. That's where Hired and Non-Owned Auto liability comes in.
HNOA is a coverage extension — usually added to a Commercial Auto policy or a Business Auto policy as Symbols 8 (Hired Auto) and 9 (Non-Owned Auto) — that responds when an employee causes an accident driving a vehicle that isn't owned by the business. It covers two distinct exposures: rented or hired vehicles used on company business, and employee-owned personal vehicles used on company business.
The coverage is almost always written as liability only — meaning it pays for damage your driver causes to other people and property, not damage to the rented or borrowed vehicle itself. That distinction matters and is one of the most commonly misunderstood parts of HNOA.
How Insurance Categorizes Vehicles
Commercial auto policies divide every vehicle into one of three categories. Each category is covered under a different mechanism — and HNOA exists specifically to fill the second and third columns.
Owned Vehicles
Vehicles titled to the business and listed on the Commercial Auto policy schedule. The traditional "company truck" with company plates and the company name on the door.
- Bucket truck owned by the business
- Chip truck on the policy schedule
- Knuckle-boom truck registered to the company
- Owned trailers and dump trailers
Hired Vehicles
Vehicles the business rents, leases, hires, or borrows for short-term use. Not titled to the business, not on the schedule — but used on company business while in the company's possession.
- Rental truck for a storm-response trip
- Leased bucket truck during equipment downtime
- Borrowed trailer from another contractor
- Short-term rented chipper-tow vehicle
Non-Owned Vehicles
Vehicles owned by employees, partners, or family members that are used for company business — typically the employee's personal car running an errand on the clock.
- Employee personal pickup driven to a job site
- Owner's personal vehicle making a parts run
- Foreman's truck used to pick up materials
- Employee personal car used for any company task
Liability Only — What HNOA Pays and Doesn't Pay
HNOA is almost always written as liability-only coverage. This is one of the most commonly misunderstood parts of the form — and the source of a lot of unhappy claim conversations. Knowing what HNOA covers and what it leaves uncovered is essential.
What HNOA Pays For
- Bodily injury to third parties caused by your driver in a covered vehicle
- Property damage to third parties — other vehicles, structures, fencing
- Medical expenses of injured third parties
- Defense costs and legal expenses arising from a covered loss
- Settlement and judgment amounts up to the HNOA limit
- Coverage extending the business's liability limits to those vehicles
What HNOA Does Not Pay For
- Physical damage to the rented or borrowed vehicle itself
- Physical damage to an employee's personal vehicle
- The rental company's loss-of-use or diminished value claims
- Personal use of an employee's vehicle outside company business
- The driver's own bodily injury — that's typically Workers Comp
- Damage to property owned by the business (use property coverage)
Damage to a rented truck itself is typically addressed through the rental company's loss damage waiver (LDW), or through a separate Hired Auto Physical Damage endorsement added to the Commercial Auto policy. HNOA alone does not pay for it.
Real-World Tree Service Scenarios
HNOA is one of those coverages that owners forget exists until the day it matters. The scenarios below describe the kinds of situations where the policy actually fires.
Storm-Response Rental Truck
Your crew travels to an out-of-state storm-response job and rents a pickup at the airport to get from the hotel to the work site.
A driver runs a red light in the rental and hits another vehicle. HNOA responds for the third-party bodily injury and property damage caused by your driver.Employee Personal Vehicle on a Parts Run
A foreman drives his personal pickup to the supply house mid-job to grab a missing chainsaw bar.
He rear-ends a sedan on the way back. The personal auto carrier may dispute coverage because the trip was for company business. HNOA's non-owned portion responds for the company's exposure.Borrowed Trailer From Another Contractor
You borrow another tree contractor's dump trailer for a weekend job because yours is in for repair.
A worker hooks the trailer up, drives off, and the trailer detaches and damages a parked car. HNOA's hired portion responds for the third-party damage caused by the borrowed equipment.Owner's Personal Vehicle on Sales Calls
The owner uses his personal SUV to drive to estimating appointments and customer meetings.
An accident during a customer visit can become a complicated coverage question — was it personal use or business use? HNOA's non-owned portion is what extends the business's liability protection during business use.Rented Bucket Truck During Equipment Downtime
Your bucket truck is down for hydraulic repair and you rent one for the week to keep crews working.
A worker swings the bucket and damages a third-party vehicle. HNOA's hired portion responds for the third-party damage; the rental truck itself needs separate Hired Auto Physical Damage coverage.Common Holes Even With HNOA in Place
HNOA is a powerful coverage but not a complete one. Tree contractors who add HNOA to their auto program should still know where the gaps remain — and how to address them when needed.
Damage to the Rented Vehicle
HNOA is liability only. Damage to the rental truck itself is not covered — use Hired Auto Physical Damage.
Employee's Own Vehicle Damage
HNOA does not pay to repair an employee's personal vehicle damaged in a business-use accident.
Loss of Use / Diminished Value
Rental car company claims for the time the vehicle is out of service, plus diminished value, are typically excluded.
Long-Term Leased Vehicles
Vehicles leased long-term should typically be scheduled on Commercial Auto, not relied on under HNOA.
Drivers Without Valid Licenses
Coverage typically requires the driver to be properly licensed — unauthorized or unlicensed drivers create gaps.
Vehicles Used Outside Coverage Territory
HNOA territory is typically the U.S. and Canada — verify before sending a crew on long out-of-state trips.
What Carriers Ask About HNOA
When a tree service applies for HNOA, underwriters ask questions designed to size the exposure. The answers below shape both whether the policy is offered and what it costs.
How Many Employees Drive on Company Business?
Counts of employees who routinely drive personal vehicles for company purposes — even occasional drivers count.
How Often Does the Business Rent or Hire Vehicles?
Frequency of rentals — never, occasionally for storm work, regularly for equipment downtime, or as a regular operating practice.
Does the Business Operate in Multiple States?
Multi-state operations — especially for storm response — increase HNOA exposure and may require additional filings.
Is There a Documented Driver Vetting Process?
MVR pulls, license verification, driver eligibility criteria, and post-hire monitoring practices.
What Are the Underlying Auto Liability Limits?
HNOA limits are typically tied to the underlying Commercial Auto Liability limits — higher primary limits affect HNOA pricing.
Are Personal Vehicles Used Frequently for Sales/Estimating?
Owners and estimators routinely driving personal vehicles for customer visits create non-owned exposure that needs sizing.
What HNOA Pairs With
Hired Auto Physical Damage
The companion endorsement that pays for damage to the rented or hired vehicle itself. Pair with HNOA when the business regularly rents trucks or trailers.
Drive Other Car Endorsement
Coverage extension for owners and key executives who use personal vehicles for business — extending personal auto-style coverage when business use is involved.
Commercial Umbrella / Excess
Stack umbrella or excess limits above HNOA to provide higher total liability protection when contracts demand high stacked limits. See the Excess Liability page.
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Hired & Non-Owned Auto Questions Answered
Doesn't my Commercial Auto policy already cover everything?
No. Standard Commercial Auto covers the vehicles scheduled on the policy — vehicles you own and have listed. If a vehicle isn't on the schedule (a rental, a borrowed truck, an employee's personal car), the policy generally doesn't respond. HNOA fills that gap. See our Tree Service Commercial Auto page.
What's the difference between "hired" and "non-owned"?
Hired means a vehicle the business rents, leases short-term, or borrows for company use. Non-owned means a vehicle owned by an employee, partner, or family member that's used for company business. They're two distinct exposures bundled into one HNOA endorsement.
Does HNOA cover damage to the rental truck itself?
No. HNOA is liability only — it pays for damage your driver causes to others, not damage to the rented vehicle itself. To cover damage to the rental, you need either the rental company's loss damage waiver or a Hired Auto Physical Damage endorsement on your Commercial Auto policy.
Why doesn't the employee's personal auto policy just cover the accident?
Personal auto policies typically include exclusions or restrictions for "regular business use" of the vehicle. When the employee is driving on company business, the personal auto carrier may dispute coverage or pay only after exhausting itself — leaving the company exposed to the remainder. HNOA's non-owned portion protects the business in that scenario.
How much does HNOA cost?
It varies by carrier, by underlying auto limits, by number of drivers, and by exposure profile. Generally HNOA is one of the lower-cost coverages in a tree service program because most claims still resolve under the underlying auto policy, but it's an essential gap-filler. Pricing details on our Tree Service Insurance Cost page.
Do I need HNOA if no one ever drives a personal vehicle for business?
Be careful with that assumption. If the owner ever drives personally for sales calls, if a foreman ever runs out for parts, if anyone ever rents a truck for storm work — the exposure exists. HNOA is inexpensive enough that most tree services carry it as a default protection.
Does HNOA cover the driver's own bodily injury?
No. The driver's bodily injury is typically addressed under Workers Compensation (if the driver is an employee on company business) or the driver's own personal auto medical/UM coverage. HNOA pays for damage to others, not the driver themselves. See our Arborist Workers Comp page.
Where do I start?
Reach out via the Contact page or call (412) 212-2800. Bring your current Commercial Auto declarations, an estimate of how many employees use personal vehicles for company business, and how often the business rents or hires vehicles.
Place Your Tree Service HNOA Coverage
Send us your current Commercial Auto declarations, employee personal-vehicle usage estimate, and rental/hire frequency. We add HNOA to your auto program with the right limits, the right symbols, and the right companion endorsements.
Contact Kelly Insurance Group → Call / Text (412) 212-2800 →