What Happens if You Are Involved in a Crash with a Company Vehicle?
There are perks associated with driving the company car. You usually don’t have to worry about paying for gas or putting miles or wear and tear on your own vehicle. But what if you are involved in an auto accident in a company-owned car?
Whether it’s a major crash or a fender bender, who will pay for it? You? Your company’s insurance? The answer will depend on whether or not the employee was acting in the scope of their employment duties at the time of the collision.
This article will elaborate on the theory of vicarious employer liability and exceptions to that principle, as well as where to go if you require legal assistance for a vehicle accident in the company car.
Vicarious Liability
In a majority of cases, the employer will be held accountable for their employee’s actions under the doctrine of “respondeat superior” or, in simpler English, “vicarious liability.” According to the tenets of vicarious liability, employers are responsible for the negligent actions or non-actions of the employee while working in the scope of their employment.
For instance, a trucker making a delivery during business hours does not stop at a red light and strikes a pedestrian. In this case, the employer will potentially be responsible as the employee was acting within the realm of their duties and was not committing any unlawful acts. However, it is crucial to understand that for an act to be within the scope of employment, it must be either employer authorized or be closely related to an authorized act that an employer should be held accountable.
Another vital element is the type of insurance plan that the employer carries. While many companies have accident coverage that extends to employees, some don’t. If you drive a company car, you will likely want to clarify such terms with your employer at the outset.
Reconsider if Thinking of Going on a Frolic during Work Hours
Are you thinking of taking your employer’s vehicle out for a spin, maybe after work or even during your work shift, but not for official purposes? You might want to reconsider. An employee who chooses to do their personal chores while on company time and causes a wreck might not be protected from personal liability.
In some jurisdictions, this is known as “frolic,” and it is of no consequence whether the employee is doing this on the company clock or not. The employee is acting in their own personal capacity and not at the employer’s direction. Thus, the employer may not be legally responsible for paying for any injuries or damages caused by the employee due to a non-work-related activity or a frolic.
Were you Involved in an Accident with a Company Vehicle?
If you were involved in an accident with an employee driving a company car, the collision might have been caused by an intoxicated, distracted, or negligent driver; speeding; an improperly maintained vehicle; or any number of other factors.
An accident with a smaller-sized company vehicle, such as a sedan, could be merely a fender-bender or could lead to substantial damage, including severe injuries or even fatalities. A collision with a larger company vehicle, such as a big rig or a large truck, can be catastrophic because of the weight and size of the vehicle involved in the collision.
In general, companies are considered to be liable for the actions of their employees while the employees are “on the clock.” This implies that when there is an accident involving a company car, if the commercial vehicle driver was working at the time of the collision and is found to be liable, the company that owns the vehicle and employs the driver will be held at least partially responsible for the damages.
Insurance adjusters and lawyers on both sides work hard to determine who is liable after an accident involving a company vehicle. Typically, representatives for the company will be on the scene within hours of the crash, seeking any possible evidence that might help reconstruct what occurred.
In the immediate aftermath of the crash, the victims and their families may be tempted to accept settlement offers. Under such circumstances, a seasoned personal injury attorney is the best resource to counsel you on whether you have a claim to recover additional damages, as accepting a settlement offer prematurely can preclude you from future compensatory damages.
If the driver’s negligence contributed to the accident, the driver might also be held responsible for damages, besides the company that employs them.
When the Employee is Operating a Company Vehicle
An employer is responsible to pay for injury and damage caused by their employee while operating a motor vehicle belonging to the company. However, the caveat is that the employer is generally only responsible for an accident caused by his employee in a company vehicle if it happens during work hours. Accidents during the employee’s commute, lunch, or personal time do not automatically imply the employer’s responsibility.
When the Employee is Driving a Personal Vehicle
When you are involved in an accident where an employee is driving their personal car on the job, the first route for filing a claim is usually the employee’s car insurance. If their insurance is insufficient to cover your claim, you have the option to file a claim against the vicariously liable employer to compensate for your injury and property damage.
If you are the victim of a commercial vehicle accident, a Mississippi car accident attorney at Gardner Law Firm can help in identifying all possible avenues available to recover the maximum possible settlement for you.
Consult an Experienced Personal Injury Attorney
Have you been in a vehicle accident in your company car? If yes, you may require legal assistance. Or, if you have been struck by a driver of a company vehicle and want to be compensated for the damages and injuries you have endured, you may have to bring a case against both the employer and employee.
Various factors must be considered, but the most effective way to handle the situation is to discuss your case with a seasoned car accident lawyer at Gardner Law Firm. For a free case evaluation and consultation, call us today at (228) 436-6555.
