You are here:

Auto Insurance Claims/Insurance coverage for damage to company vehicle

Advertisement

Expert: - 4/16/2009


Question
An employee backing their personal vehicle hit their employer's vehicle that was parked in the residence driveway. The employee had the company-owned vehicle home for emergency business use only. Does the employee's own vehicle insurance pay for the parked company vehicle's damages? The employee's insurer says 'no' due to a 'regular use' exclusion.

Answer
Hi Tyree,

To the best of my knowledge, the "regular use" exclusion would not apply in this case. The company truck was parked and unoccupied. The driver is liable to the employer for damaging their vehicle. The employees liability coverage should pay for the damage. It is possible there is something I am missing though. The insurance comapny should provide a written explanation for their denial of coverage.

I hope this helps
Richard Hixenbaugh

Auto Insurance Claims

All Answers

Answers by Expert:

Ask Experts

Volunteer

Richard Hixenbaugh

Expertise

Auto insurance claims procedure, auto coverage, liability issues, auto damage questions, how to deal with the insurance company, loss of use and diminished value.

Experience

I have been involved in the insurance industry for over 25 years. I have experience in underwriting, sales, claims adjusting, auto damage estimating, auto value appraising and diminished value appraising. I have testified as an expert witness over 35 times.

Organizations
Society of Certified Auto Appraisers

Education/Credentials
Completed all required courses for the Florida Property-Casualty agents license and the Florida claims adjusters license. I have attended various courses on auto damage estmating, vehicle appraising and am ASE certified in collision damage analysis.

Past/Present Clients
My company has done work for consumers nationwide.

©2012 About.com, a part of The New York Times Company. All rights reserved.