Vehicle Stolen from Valet Parking Service

December 30, 2013

Our insured is an upscale restaurant that provides a valet parking service for customers. Employees of the restaurant park customers' vehicles; they do not charge for the service.

The claimant arrived and gave his keys to the parking attendant who then drove the vehicle and parked it in the valet lot. The valet put the keys in the key box and assisted other customers. A man started talking to the valet as if to distract him, and another man went to the key box and stole the keys to the claimant's car. When the valet knew what was going on he began shouting, “Call the police, call the police.” Both of the men left with the vehicle.

The vehicle was damaged while in the possession of the thieves, and the claimant is seeking costs to repair from the insured. Insured only has the BOP policy, no garage keepers.

Does this incident arise out of parking an auto on the premises owned by the named insured? Does the care, custody, or control exclusion apply?

Michigan Subscriber

The auto exclusion language about parking an auto on premises is not relevant to this claim. That exclusion refers to liability that may arise when a valet, for example, is parking a customer's car and hits another car or a person. The auto exclusion then would not apply to the claim from that third party. This is not what happened in this instance.

 

The care, custody, or control exclusion is applicable. The insured had the care and custody of the personal property of another, especially since the valet had the keys and the PD (theft of the car) occurred at this time. So, the BOP is not going to cover the claim for the damage to the car.

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