Car Insurance Coverage for Work-Related Errands
What happens if Brendan, a mail clerk, has an accident while running errands for his employer using his personal car?
A. His personal car insurance will cover the accident
B. His employer's business auto policy will treat his car as a 'non-owned auto'
C. Brendan will be personally responsible for all damages
Answer:
Brendan's personal car used for work-related errands would be treated as a 'non-owned auto' under his employer's business auto policy, providing liability coverage for business-related accidents.
If Brendan, a mail clerk, has an accident while using his personal car for work-related errands, his employer's business auto policy (BAP) would most likely treat Brendan's car as a 'non-owned auto' under the policy. When an employee is using their personal vehicle for business purposes, the vehicle can be considered a non-owned auto in relation to the business insurance policy, providing coverage for liabilities arising from accidents while conducting business operations.
It's important to note that the coverage may be contingent on the terms and specifics of the BAP, and, in some cases, there may be an expectation for Brendan's personal auto insurance to respond first, with the BAP potentially providing additional or excess coverage.