My son delivers food for an Italian restaurant. He was in an accident and it was his fault while working. We submitted the insurance claim to our insurance co (AAA) only to be told that it would not be covered because he was using his car for work. My son's boss says that he is not covered by the restaurant because they don't have insurance for the drivers.
I was thinking of offering to pay $1,000 (our deductible) and then ask his employer to cover the balance which is $7,000. Is this waste if time or does the owner have some of this liability because my son was working?
1 Answer from Attorneys
The employer potentially has liability to the injured third party for the accident damages if the driving was 'on the job', for the job as it sounds like, even though not in a company vehicle. If the injured party chooses, he could sue the driver, the registered owner[s] -- sounds like you, and the employer. You all need to face up to the risks and work it out to avoid a lawsuit and large legal defense costs and expenses on top of the damages claimed. If your insurance carrier[s] could be compelled to cover this, it would be great. The employer should have general liability insurance that would cover this, despite what they tell you. They may simply be avoiding making a claim that could raise their rates. You own carrier might also actually have liability for this, despite what they tell you. You need to consult with and potentially hire an attorney to help you try to get coverage, or at least negotiate a settlement in your best interests among all the parties. Feel free to contact me if serious about doing so and if this is in SoCal.