Commercial auto insurance policies typically don't cover personal use of company vehicles. In non-work-related accidents, employees may need to rely on their personal auto insurance.
Due to insurance policy complexity, employees should review personal auto policies with insurers. Understanding coverage limitations is crucial to be aware of gaps and take necessary measures.
Employees with company cars at home can fill coverage gaps by adding an endorsement to their personal auto insurance. The endorsement covers liability for accidents caused by the driver, including listed household members.
The endorsement covers liability, not physical damage to the vehicle. Employees may need additional coverage like a Named Non-Owned policy for this. Employers should check if their commercial auto policy allows an extended non-owned endorsement.
List authorized employees on the insurance to avoid claim issues with company cars used personally. Unclear coverage can complicate accidents during off-work hours.
The idea of a personal auto policy for commercial vehicles is complex in the sense you may need backup coverage to fill coverage gaps. For information on the right personal or commercial auto insurance plan, contact Chambers & Company Insurance Brokers today. Click in the link below to contact us today!