Scenario #1: A volunteer is pulling the church trailer on Sunday morning with their pickup.  In the process, they have a wreck damaging their vehicle, the trailer and another vehicle.  In this scenario, the insurance of the person who pulled the trailer would kick in first and be considered primary.  However, if the individuals policy did not cover all of the damage, then the church would be liable and the non-owned & hired auto insurance would cover it.  If the church’s equipment inside the trailer was damaged in the accident, that would be covered under the church’s liability policy and would not be covered under the individual’s policy who was pulling the trailer.  *It is important to get proof of insurance from anyone pulling the church trailer.

Scenario #2: The church rents a vehicle to travel to an event.  Assuming the rental is less than 30 days, the church’s non-owned & hired insurance will cover it.  No need for those outrageous gouging insurance prices from the car rental company.

Scenario #3: A pastor of the church is driving in his personal vehicle to the hospital to visit a sick member.  On the way, the pastor gets in an accident.  The pastor’s personal insurance policy would be primary, but the church’s non-owned & hired auto insurance would cover any excess because the pastor was on church business.

Scenario #4: A volunteer is driving a van full of kids to church camp and has an accident.  Their personal insurance would be primary.  But let’s say that insurance company says, their client was on church business and thus the church is partially liable.  The church’s non-owned & hired auto insurance would kick in.

If you or anyone connected to the church drive a vehicle for church business that is not owned by the church, you need it.  If you drive a vehicle for church business that you do not own (ex. – car rental), you need it.

The insurance company will provide limits for this coverage.  The limits are the maximum amount the insurance company will pay in a claim.  The limits are typically the same as you have for your liability coverage.

To see more details on Non-Hired Auto, check out the blog of Illini Community Insurance.

*Disclaimer: Of course I’m not an insurance agent and am just a church planting blogger, so you may want to confirm the above with someone who knows what they are talking about.