Page 12 - IPMA 1st Qtr. Newsletter
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the company, you have a liability exposure emergency room. It needs to be on all
to you personally. Your personal assets vehicles or none of the vehicles. No mixing
can be exposed to litigation. When buying and matching.
a company vehicle with your personal What about protecting my truck?
credit, many car dealerships will allow the Collision and comprehensive coverage
company name on the title with you on is for the physical damage to the vehicle.
the loan. The higher the deductible, the lower
Who is driving? the rate. Higher deductibles pay back in
If it is your employee, then you need 3 to 5 years. You can pick and choose
to have that employee hand you a DMV the vehicles you want for collision and
driving history. The driving experience for comprehensive coverage. If the value for
your drivers can make a big difference the vehicle gets close to $2500, then you
in cost to you. It will cost them $5 to get may not want to carry comp and collision.
their driving history. Drivers who are over How about Uninsured/Underinsured
25 years old and under 65 years old are in Coverage?
the best rated class, especially if there are Uninsured/Underinsured coverage can
no tickets or accidents in be used for injuries
the last 5 years. If you use your personal vehicle for that are caused by
How much liability do I business, the insurance carrier can deny an at fault driver who
need? coverage when you file a claim. has no coverage or
You will only know has little coverage to
the exact amount support the injuries
until after the accident claim is settled. incurred. It also can be used for lost
Generally, the most common limit for work wages, pain and suffering. Many accidents
vehicles is $1,000,000. Many companies involve an uninsured driver. The coverage
have a liability umbrella. Some contracts is for those in your vehicle/s. It has been
I have seen, call for up to $10,000,000 reported that 1 in 5 accidents has a UM/
in liability. This is where the umbrella or UIM claim.
excess liability is used. Do I need to include any equipment
Do I need medical payments? coverage?
If you have only employees in your If it is permanently attached, it can be
work vehicle, then you may want to rely considered part of the vehicle. You can list
on your workers compensation and not it as equipment on the commercial vehicle
take medical payment. If non-employees policy. If you move equipment in and out
get into your work vehicles, then medical of the vehicles that has high value ($500
payment would be for them. Medical or more), it is better to have an inland
payment for employees become secondary marine policy to cover your equipment
coverage to works compensation. Medical especially if the equipment moves from
payment is for immediate coverage truck to truck.
for injury for starting treatment in the
Page 12 IPMA Connection • 1st Quarter, 2020
