Can my employer demand that I carry auto insurance?

Can a job force me to get a car insurance policy? I started a new job recently and one of the requirements is to have your own auto insurance policies. I won't be making deliveries or driving on the property so I am not sure why they think it is needed. Since I don't have a car, an insurance policy seems to be a waste of money.

Answer provided by
Shannon Martin
Answered on Jun 24, 2021
Shannon is an expert in personal lines liability insurance with 13 + years of insurance industry experience. She also served as a special insurance liaison to AARP members for 6 of those years. She is a graduate of UL Lafayette and currently resides in NY with her family. Shannon is also an amateur juggler, ukulele player, and is a time travel paradox theory enthusiast.
“Your employer can’t force you to purchase an auto insurance policy. However, if having the policy is a stipulation of employment, they can terminate you for not fulfilling the requirements.
Speak with your supervisor or HR department and ask why you would need this coverage. If you are driving a company vehicle, then they should have their own commercial coverage. You might not be covered by your insurance policy to drive another car for business use.
If you are still required to secure your own policy, you will want to shop for auto insurance online and look into a named non-owner policy (NNO). This type of policy will provide coverage for drivers who do not own a car but might rent or borrow one. The standard NNO only provides liability insurance, but it should be enough to meet your employer’s requirements. Good luck!”

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