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Hired and Non-Owned Auto Liability on a Certificate of Insurance, Explained

By SubCover HQ · Updated Nov 1, 2026 · 3 min read

The automobile liability section is the part of the certificate people skim. That's a mistake, because the boxes checked there decide whether a sub's auto policy actually covers the vehicles that will be on your job or at your property.

The auto section of the ACORD 25

Under AUTOMOBILE LIABILITY, the ACORD 25 lists several checkboxes that describe which vehicles the policy covers:

• ANY AUTO: the broadest option. Covers any vehicle the business uses, owned or not.
• OWNED AUTOS ONLY: vehicles the business owns.
• SCHEDULED AUTOS: only the specific vehicles listed on the policy.
• HIRED AUTOS ONLY: vehicles the business rents, leases, or borrows.
• NON-OWNED AUTOS ONLY: vehicles the business doesn't own, rent, or borrow but that are used for its work, most commonly employees' personal cars.

The limit is usually shown as a combined single limit per accident (for example, $1,000,000), or as split limits for bodily injury and property damage.

What hired and non-owned auto coverage does

Hired and non-owned auto liability, often shortened to HNOA, covers the business's liability when a vehicle it doesn't own is used for business. Think of an employee driving their own pickup to pick up materials, or a rented truck hauling equipment to a site. The employee's personal auto policy may respond first, but if the claim exceeds those limits or the personal policy excludes business use, the injured party will often look to the business. HNOA is what protects the business, and indirectly you, in that situation.

Why it matters to you

If a sub's crew causes a crash on the way to your job, or backs into a tenant's car in your parking lot, the injured party may name you too. Your contract's indemnity and additional insured requirements only help if the sub's policy actually covers the vehicle that was involved. A certificate showing SCHEDULED AUTOS for two vans doesn't help when the crew showed up in a third, unlisted truck or someone's personal car.

When to require it

• Subs that own work vehicles: require auto liability covering ANY AUTO, or at least owned, hired, and non-owned autos together.
• Subs with no company vehicles: small trades, consultants, and cleaning crews that drive personal cars should still carry hired and non-owned auto coverage, often added to a general liability or business owner's policy.
• Vendors who don't drive for the work: for an office-based vendor whose staff never drive for the job, many companies waive the auto requirement in writing.

Limits vary by contract and risk. A $1,000,000 combined single limit is common in subcontracts, with higher limits handled through an umbrella policy. See insurance limits to require from subcontractors and umbrella vs excess liability.

Common auto section problems

• The auto section is blank, or the sub sends a general liability certificate only.
• Only SCHEDULED AUTOS is checked, and the vehicles on your job aren't on the schedule.
• HIRED and NON-OWNED are checked but there's no owned auto coverage, even though the sub drives company trucks.
• Additional insured is required on auto by your contract but the ADDL INSD box for the auto line is empty.
• The auto policy expires on a different date than general liability and nobody tracks it separately.

Our free COI compliance checker walks through each section, including auto, against your requirements.

Frequently asked questions

What does hired and non-owned auto mean?

It covers a business's liability when vehicles it doesn't own are used for business, such as rented trucks (hired) and employees' personal cars (non-owned).

Is ANY AUTO better than hired and non-owned?

ANY AUTO is the broadest box on the ACORD 25. It covers owned, hired, and non-owned vehicles. Hired and non-owned alone doesn't cover vehicles the business owns.

Do subs without company vehicles need auto coverage?

If their crew drives personal cars for the work, hired and non-owned auto coverage is commonly required. Some companies waive auto in writing for vendors who never drive for the job.

Can I be additional insured on a sub's auto policy?

Often, yes, if your contract requires it and the policy allows it. Check the ADDL INSD box on the auto line and ask for the endorsement.

This guide is general information, not insurance or legal advice. Coverage depends on the actual policy forms and endorsements; confirm with your insurance agent.