Posted: Wed Oct 15, 2008 9:49 pm Post subject: As an employer, if my employees use their personal vehicles
As an employer, if my employees use their personal vehicles for company business or rent a car for company business, do I need a copy of their driver's license & proff of insurance on file? -
Not sure but I know when I was using my vehicle for the green house I worked for they had to have a copy of my drivers licence. If it is for company use and they wreck their own vehicle they would want to have it covered. I know I would.
If your employees use their personal cars for your business, you need to reflect that on your commercial policy.
Um...you do have a commercial policy don't you?
Anytime an employee is doing something for your business, they are a representitve of your business. Which means, ultimately, it can come back to you (lawsuit), if something happens. _________________ Life moves pretty fast. If you don't stop and look around once in a while, you could miss it. - Ferris Bueller
You can keep a copy of their DL and insurance card but this is not going to make any difference. The _real_ question is if their insurance is going to provide them liability insurance if they are using their vehicle for work. Most policies will cover this (as long as it's not being used for livery) but some policies exclude coverage anytime you are earning money by using your vehicle. If the employees policy will not address the loss, then the employer could be held liable.
As LifeIsGood pointed out, the employer needs to protect his own interest. It comes down to that. You don't need to look out for the employee... you need to obtain a policy to protect _you_.
In this case you want a Business Auto Policy with at least Non-Owned coverage (as long as no vehicle is titled to the company).
I'll go with LIG, if your employees are using their private vehicles for business purposes, you're required to mention it in your company auto policy, since their private auto insurance may not cover the vehicle after accidents if it was used for business purpose at the time of accident.
Except there is really no requirement to tell the insurance company... it's the insurance company that should know this. I've not seen one but I'm willing to bet that there are several questions about the companies use of vehicles that the insurance company asks. Also keep in mind that the commercial policy is written differently then a personal policy. The defintion of "insured" is much more broad. So it's really designed to address these types of situations as they happen all the time.
But the impression I get from the OPs post is that it's a mall business and he/she does not have a commercial auto policy at all. If he/she does, then the insurance company needs the names and drivers licenses numbers of all employee.
