In an effort to reduce operating costs, more and more employers are limiting the number of company cars they provide employees or eliminating their company car programs altogether. The company car goes away, but the need to use vehicles for business purposes usually doesn't. To meet this need, employers may provide a pool car(s), have employees rent a vehicle when traveling, or ask employees to use their personal vehicle for company business. The result is a hired and/or non-owned automobile exposure that is often overlooked, ignored or brushed aside as incidental.

Employers with and without company-owned autos often don't understand the importance of managing and controlling their hired and non-owned automobile risk. They may associate the need for a good fleet safety program with the presence of company-owned vehicles, and thus do not qualify their drivers, establish rules, provide training or implement a hired and non-owned fleet management program. Thus, employers may not provide guidance for their employees and the unique considerations that need to be given to hired and non-owned fleets. Ultimately, the significant risks associated with this exposure are overlooked and not properly controlled.

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