ABA therapy providers perform life-changing work, often in non-traditional settings like homes, schools, and communities. As a result, therapists and supervisors spend a significant amount of time driving — often in their personal vehicles. For business owners, every trip an employee takes during work hours presents a risk, even if the company doesn’t own the car. That’s where a strong non-owned auto liability plan becomes essential for safeguarding your practice.
Recently, one ABA client shared a troubling scenario: An employee caused an accident while driving between sessions. She carried only the state’s minimum auto liability limits. The attorney for the injured party bypassed her and went straight after the employer — because her coverage wasn’t enough to cover the damages. This situation falls under vicarious liability, where a company can be held responsible if an employee injures someone while performing work duties. While the business had non-owned auto liability coverage, it was never meant to serve as primary insurance. A stronger vehicle use policy and higher employee insurance requirements could have minimized the risk.
Understanding Non-Owned Auto Liability
Non-owned auto liability is a policy that protects your company when employees use their personal vehicles for work-related tasks. If an employee causes an accident, their personal insurance is activated first. If their coverage is insufficient, your company’s policy steps in to help cover the remaining costs.
However, this coverage was never meant to carry the full burden. It works best when paired with clear procedures and requirements that ensure your employees’ personal policies are also up to the task.
The Real Risk: Why “Proof of Insurance” Isn’t Enough
Many ABA companies ask employees for proof of insurance through an ID card. The problem? These cards rarely show the actual liability limits. If an employee only carries their state’s minimum — which can be as low as 15/30/10 — your business is exposed. In the event of a serious accident, injury attorneys will look for deeper pockets, and that often means coming after the employer.
Components of a Strong Non-Owned Vehicle Risk Control Plan
A thorough vehicle policy helps prevent liability gaps. Your plan should include:
- Requiring employees to carry minimum liability limits of 100/300/100
- Collecting declarations pages instead of ID cards
- Reviewing motor vehicle records at hiring and annually
- Confirming driver’s license validity and vehicle inspection status
Your written policy should also prohibit texting, substance use, and unsafe behavior while driving and require prompt reporting of any work-related incidents.
Reimbursement and Compliance: Best Practices for Employers
Even if not required in your state, mileage reimbursement is a smart move. In 2025, the IRS standard is 70 cents per mile. Fair reimbursement builds trust and can be tracked with expense management platforms for compliance.
Insurance verification should be part of onboarding, with follow-up checks during annual reviews. Keep records of compliance to demonstrate due diligence.
Risk Management + Insurance: Your Dual Defense
Even with safeguards, accidents can still happen. That’s why pairing your risk control plan with the right insurance matters. Non-owned auto liability coverage protects your company when employee policies fall short. Combined with proactive ABA insurance strategies, it creates a stronger, more defensible practice.
At Olson Duncan, we specialize in helping ABA providers manage risks — including the everyday risks that come with driving.
Final Takeaways for ABA Business Owners
Driving is one of the most overlooked risk areas in ABA therapy operations. A well-documented vehicle policy supported by the right insurance can help protect your business from lawsuits, legal costs, and reputational harm.
Contact Olson Duncan today to implement a compliant non-owned vehicle risk control plan and ensure your ABA insurance coverage is working for you.
Olson Duncan Insurance
Established in 1945, Olson Duncan Insurance has more than 70 years of experience serving the insurance and risk management needs of California residents and businesses. During our seven decades, we’ve earned the trust of our clients and the outstanding reputation of professional integrity by consistently offering individuals and businesses quality insurance products at fair, competitive prices, backed by exceptionally responsive service.