| Automobile Coverage - General
Rules as of July 1, 2000 |
Automobile liability insurance follows
the ownership of the vehicle. A vehicle operator is covered under the owner’s policy
if they have permission from the owner to use the vehicle.
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| Who Operates the Vehicle? |
Who Owns the Vehicle? |
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The
Institution
(owned or long term leased) |
The
Vehicle Operator
(an Employee, Volunteer, or Student) |
A
Borrowed Car
(i.e. from another person / not owned by institution) |
A
Car Rental firm |
An Employee
(includes faculty, staff, and work study students) |
The institution’s policy provides liability coverage to the institution and
the employee. |
The employee’s policy provides liability coverage to the employee and the
institution. The institution’s policy will provide excess coverage if driving on
institution business. |
The other person’s policy provides liability coverage to the employee and
the institution. The institution’s policy will provide excess coverage if driving on
institution business. |
The car rental firm provides liability coverage1 to the employee. The
institution’s policy will provide primary and / or excess coverage to both the
institution and the employee. |
A Volunteer
(includes students while driving on institution business) |
The
institution’s policy provides liability coverage to the institution and the
volunteer. |
The
volunteer’s policy provides liability coverage to the volunteer and the institution.
The institution’s policy will provide excess coverage if driving on institution
business. |
The
other person’s policy provides liability coverage to the volunteer and the
institution. The institution’s policy will provide excess coverage if driving on
institution business. |
The car
rental firm provides liability coverage1 to the volunteer. The institution’s
policy will provide primary and / or excess coverage to both the institution and the
volunteer. |
A Student
(while driving on personal business) |
The institution’s policy provides liability coverage to the institution and
the student. |
The student’s policy provides liability coverage to the student. |
The other person’s policy provides liability coverage to the student. |
The car rental firm provides liability coverage1 to the student. |
Automobile Physical Damage coverage also
follows the ownership of the vehicle. In the case of rental vehicles, if the use of the
vehicle is for institution business, the institution’s policy provides collision
coverage to the rental vehicle. Therefore, the collision damage coverage offered by the
rental firm may be declined.
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1 In some states, car rental firms transfer the liability
to the renter of the vehicle. If an individual is renting for institution business, the
institution’s policy provides liability coverage. Therefore, the liability coverage
offered by the rental firm may be declined.
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