A special endorsement to include contract drivers is an insurance modification that adds hired or non-owned drivers to a moving and storage company's policy. This endorsement clarifies liability when third-party drivers move goods or use company vehicles, and it helps cover exposures from commercial auto operations, property damage, and equipment losses while subcontractors are working on your behalf.
What is Special Endorsement to Include Contract Drivers/Moving and Storage?
This endorsement formally extends coverages so a company’s policy responds for liability arising from contract drivers who are not direct employees. It’s commonly used by operators who hire independent drivers, temporary crews, or third-party carriers to handle customer moves. The goal is to align responsibility for commercial auto exposure and related liability with the hiring organization.
Who needs it
Companies that routinely hire subcontractors — such as moving companies, storage operators, or event logistics providers — should consider this endorsement. Smaller local movers, national carriers using contracted drivers, and organizations coordinating third-party transport often seek this protection. For more on broader liability concerns in the industry, see Public Liability and Property Damage Coverage — Moving & Storage (Public Liability and Property Damage Coverage — Moving & Storage).
What it typically covers
Typical coverage elements include bodily injury and property damage liability when a contract driver is involved, collision or comprehensive damage to owned equipment in certain arrangements, and defense costs for covered claims. The endorsement may interact with existing commercial liability, property coverage, and equipment coverage provisions. It does not automatically expand coverage beyond policy limits or fill gaps created by separate carriers without coordinated wording. For vehicles and auto-specific exposures, see Moving and Storage Business Auto Insurance (Moving and Storage Business Auto Insurance).
Risk scenario example: a subcontracted driver causes a minor roadside collision that damages customer property — the endorsement determines whether the company’s policy or the driver’s carrier responds.
Common exclusions or limitations
- Claims arising from intentional acts or illegal use of vehicles.
- Drivers not properly licensed or those excluded in the policy's definitions.
- Coverage limitations for hired vehicles or driver-owned vehicles unless specifically added.
- Gaps when subcontractors carry their own inadequate limits or separate policies that conflict with the primary policy.
Factors that influence cost
Underwriting factors include the contractor’s driving records, the types of vehicles used, distance and duration of hauls, types of goods moved (high-value items vs. household goods), and whether the business already maintains commercial auto or commercial general liability programs. Risk management practices — training for contractors, certificate of insurance procedures, and fleet maintenance — also affect premiums. For more on auto-specific underwriting, you may find Business Auto Insurance for Moving and Storage Companies useful (Business Auto Insurance for Moving and Storage Companies).
Proof of insurance & compliance
Businesses often require certificates of insurance from contract drivers showing appropriate limits and endorsements. Some clients or jurisdictions request written proof of primary/non-contributory wording or additional insured status. Maintain clear contract language about insurance responsibilities to avoid coverage disputes.
How to get a quote
Compare how different carriers treat contract drivers and review endorsements carefully. When you are ready, talk to your agent to discuss the specific wording and limits that match your operations; you can also request a quote online by using the form at https://completemarkets.com/quote/ (follow the “talk to your agent” link above to start a quote).
Frequently Asked Questions
Do contract drivers need to be listed individually on the policy?
Not usually; endorsements often extend coverage generally to contract or hired drivers who meet defined criteria rather than listing each person by name.
Will adding this endorsement raise my premium?
It can, depending on the exposure, driving records of contract drivers, and the limits requested. Effective risk management can reduce increases.
Does this endorsement replace the subcontractor’s own insurance?
No. It coordinates coverage but does not replace a subcontractor’s obligation to carry their own insurance unless the contract specifies otherwise.
Still have questions? Talk to a local insurance expert.