Why You Should Get a Job Applicant Approved by Your Insurance Before Hiring Them as a Driver
As a business owner, especially if your operations involve company vehicles, hiring a new employee isn’t just about finding someone with the right skills or personality—it’s also about managing risk. One of the most overlooked (yet critical) steps in hiring someone who will operate a company vehicle is making sure they are approved by your insurance provider before you offer them the job.
Here’s why this matters—and how involving your insurance agent early in the process when you need to hire a driver can save you time, money, and serious HR headaches.
1. Not All Drivers Are Insurable
It might come as a surprise, but not every driver is automatically eligible to be covered under your commercial auto insurance policy. Insurance carriers review driving records to determine if a driver poses too much risk. A clean resume and professional demeanor does not guarantee insurability. One too many speeding tickets or a DUI on their record—even if it was years ago—can result in a flat-out refusal from your insurer to cover them.
Hiring a driver without confirming their insurability can leave you scrambling to find a new applicant – while dealing with HR issues with the disqualified new hire.
2. Protect Your Business from Unnecessary Liability
If you let someone drive a company vehicle who isn’t approved by your insurance, and they’re involved in an accident, the consequences can be devastating. Your insurance may deny the claim, leaving you responsible for damages out of pocket. That can mean paying for vehicle repairs, property damage, injuries, and even lawsuits.
When you confirm a driver’s insurability before hiring, you ensure that you’re not exposing your business to unnecessary liability.
3. Your Insurance Agent is a Strategic Hiring Partner
Think of your insurance agent as part of your hiring team when it comes to any driving-related role. An experienced agent can:
- Pre-screen applicants to see if they meet your policy’s driver requirements.
- Advise you on red flags in motor vehicle records.
- Recommend policy changes if necessary to accommodate certain hires.
Looping them in early allows for a smoother onboarding process and prevents unwelcome surprises after a hire has been made.
4. Avoid Delays in Onboarding and Operations
Hiring a new driver only to find out after the fact that your insurer won’t approve them can delay your operations. If the role depends on driving—like delivery, service calls, or transport—that delay costs you money. You may have to re-open the hiring process or juggle existing staff to cover the gap.
Confirming insurance approval upfront ensures a seamless transition from hiring to getting them behind the wheel.
5. How to Include Insurance in Your Hiring Process
Here’s a quick way to incorporate insurance into your hiring workflow:
- Step 1: Require driving records (MVRs) during the application process.
- Step 2: Submit the applicant’s license information to your insurance agent for approval before making a formal job offer.
- Step 3: Only move forward with applicants who are cleared and insurable under your policy.
By building this into your hiring checklist, you protect your business and show due diligence in managing risk.
Final Thought
Hiring a driver isn’t just an HR decision—it’s an insurance decision too. Including your insurance agent in your hiring process isn’t just smart, it’s essential. A little extra work upfront can prevent major headaches later and keep your business protected, your vehicles covered, and your operations running smoothly.
Bottom line: Always get your job applicant approved to drive by your insurance provider before you hire them.
If you’re a business owner, we’d love to talk to you about the specific risks your businses faces and how we can help you protect it. Every one of our protection advisors is an expert in business insurance. Contact us here and let’s get started!
A little more about Holley Insurance…
Holley Insurance was founded in 2000, and retains a core base of loyal clients. We have locations in Roanoke, Rocky Mount, and Forest, VA. As an independent insurance agency, Holley Insurance represents a carefully selected group of financially strong, reputable insurance companies. Therefore, we are able to offer you the best coverage at the most competitive price. If you’re interested in starting a quote online or having us take a look at your current policies, click here!
