SYMBOL 8 – HIRED AUTOS ONLY

Symbol 8 Hired Autos Only – Definition and Explanation

In plain language: Symbol 8 refers to hired autos only. This means autos you lease, hire, rent, or borrow, but not those from your employees, partners, or members of their households. 

Technical definition: Symbol 8 Hired Autos Only is a classification under the Business Auto Coverage Form (CA 00 01) that denotes insurance coverage for automobiles that a business leases, rents, or borrows, excluding those obtained from employees or company executives. 

Ever rented a vehicle temporarily for business use, but wondered about the intricacies of its insurance coverage? Understanding how Symbol 8 applies to rented or hired autos is critical for ensuring proper protection. 

TL;DR

Symbol 8 refers to hired autos only. 

Crucial in defining coverage for rented or leased vehicles used in business operations. 

Common misunderstanding: coverage does not extend to vehicles borrowed from employees. 

Best practice for agencies: Review and explain commercial auto symbols to clients, especially those frequently renting autos for business use. 

What Is symbol 8 in Insurance?

Deep rooted in the realm of commercial auto insurance, are an array of number-coded symbols, one of which is Symbol 8. It is part of a spectrum of auto symbols list from the Business Auto Coverage Form regulations defined by the Insurance Services Office (ISO). 

These auto symbol coverage descriptions help in shaping the coverage contours of commercial automobile policies. They define in what circumstances the insurance policy will provide protection, a pivotal detail for independent agencies advising clients on fitting commercial auto coverage. 

Symbol 8 Hired Autos Only covers vehicles that a company leases, hires, rents, or borrows, except those borrowed from company employees or executives. This is distinct from coverage symbol 7 ('Specifically Described Autos'), symbol 5 ('No-Fault Benefits') and auto symbol 10 ('Any Auto'). As such, it generally supplements other coverages, like symbol 7 for 'owned autos only'. The unique aspect of Symbol 8 helps agencies recognize, explain and tailor robust commercial auto insurance coverage for their clients' unique business needs. 

Key Related Terms to Know

Business Auto Policy (BAP): A policy that combines liability and physical damage coverages for vehicles owned, leased, or hired by businesses. 

Covered Auto Designation Symbols: Numeric codes used in the Business Auto Coverage Form to specify what autos are insured. 

Non-Owned Autos: Vehicles not owned, leased, hired, or borrowed by a business, often including employee's personal vehicles used for business operations. 

Specifically Described Autos: Vehicles specifically listed and described in the policy's declarations page. 

Hired Auto Liability: Liability insurance that covers vehicles a business rents or borrows. 

Common Questions About symbol 8

What does Symbol 8 cover and not cover? 

Symbol 8 covers leased, rented, hired, or borrowed vehicles excluding those borrowed from employees or executives. It does not cover employee-owned or 'specifically described autos' that are owned by the company. 

How does Symbol 8 differ from Symbol 9 (Non-Owned Autos)? 

While Symbol 8 covers vehicles the company hires or rents, Symbol 9 covers autos the business does not own, lease, or hire, typically employee's personal vehicles. 

How does the agency manage Symbol 8 in conjunction with other symbols? 

Agencies often coordinate Symbol 8 with other symbols like 7, 1, or 2. For example, a business might use Symbol 7 for owned autos only, symbol 1 for owned autos and symbol 8 for hired autos. 

Are hired autos and non-owned autos the same? 

No, hired autos refer to leased, rented, borrowed vehicles (excluding from employees), covered under Symbol 8. On the other hand, non-owned autos mainly refer to employees' vehicles used for business purposes, covered under Symbol 9. 

Symbol 8 vs. Auto Symbol 7

Symbol 8 and Auto Symbol 7 are often confused due to their somewhat similar coverage areas. Here's a simplified comparison:  

Real Claim Examples Involving Symbol 8

Scenario 1: A business rented a truck for a one-day project. Unfortunately, the truck was involved in a traffic accident. Because the business included Symbol 8 in their policy, the property damage caused by the accident was covered by the insurance company. 

Scenario 2: An employee was sent to rent a van for delivery purposes. During the delivery, the van collided with another vehicle, causing considerable damage. As the van was rented, the business' insurance policy provided coverage under Symbol 8. 

Scenario 3: A company borrowed a utility truck from another local company for a week. The truck was hit in the parking lot, causing significant damage. Despite the truck not being owned by the company, the damage was covered by their policy due to Symbol 8. 

Limitations and Common Mistakes

Symbol 8 does not apply to vehicles owned by the business, requiring Symbol 7 coverage. 

Confusion often arises between non-owned autos and hired autos coverage, leading to possible gaps in coverage. 

Overlooking necessary "hired auto liability" coverage can leave businesses vulnerable to financial risks. 

How to Explain Symbol 8 to Clients

Business Owner As a business owner, should you rent a vehicle for business purposes, the Symbol 8 coverage in your policy protects against potential losses stemming from vehicular accidents or damages. 

Risk Manager In terms of risk management, Symbol 8 is an essential facet of a solid commercial auto policy, covering vehicles your company rents or borrows, it, however, does not cover vehicles borrowed from employees or partners. 

Individual renting their personal auto for commercial purposes Symbol 8 protects hired or rented autos. So, if you're renting your personal auto for commercial purposes, this provides coverage, excluding when such autos are borrowed from employees or their household members.