The answer: The Personal Auto Policy has an exclusion that states that there is no coverage for the use on a vehicle furnished or available for your regular use. Thus, when driving the employer-owned company vehicle there is no coverage under his personal auto policy.

Does your car insurance go up if you use it for work?

When it relates to your job, insurers consider not only statistics, but also occupational behaviors and the location of your work and travel patterns. If your car is part of your business or used for work-related functions on a regular basis, this will have an impact on your premium.

Do you need business insurance to drive to and from work?

You need business car insurance if you’re using your car during work hours. Business use doesn’t include commuting to and from your usual place of work, but does include: Commuting to different locations for work, to meet clients for example. Driving colleagues or clients around.

Do you need auto insurance when driving a company car?

Every business should purchase commercial or business auto insurance to fully cover company-owned vehicles driven by employees for business purposes during working hours. The business is responsible for purchasing commercial auto insurance coverage for all vehicles that have the company name on the title.

Are there company vehicles covered under your personal auto policy?

There is no coverage under your company car policy. Here are the two solutions to fix that gap in coverage. #1 have the company amend their commercial auto policy to add the Drive Other Car Coverage endorsement or buy a Named Non Owner policy for yourself.

Can a business use employee’s auto insurance if there is no insurance?

However, it is generally not worth the extra cost. It also does not change the fact that employee’s coverage is still primary. Even after buying the extra coverage, the business auto policy will only pay if there is no insurance on the employee’s vehicle. Let’s walk through a few claims to illustrate how coverage will respond.

Can a company reimburse you for driving your personal car?

From time to time it may be necessary for you to drive your personal vehicle on company business. The purpose of this letter is to remind/advise you of our policy regarding such. All employees using their personal vehicle for approved business travel will be reimbursed for such use at a rate of <$.xx> per mile.