My client is an employer who owns no autos. However, he does have hired and nonowned autos coverage under the business auto policy (BAP) through the use of symbols 8 and 9. Sometimes, the employees rent cars or use their own autos for business purposes and my client wants to know if the BAP provides liability coverage under these circumstances for both the employees and him.

Ohio Subscriber

If an employee uses his own car on the business of the employer, symbol 9 of the BAP specifically provides coverage for the employer. However, the employee is not automatically considered an insured under the BAP; rather, he must rely on his own personal auto policy (PAP) or on an endorsement to the employer's BAP. The employee's personal auto policy insures him for the use of any auto and the business use exclusion on the PAP does not apply to the use of a private passenger auto or a van owned by the employee. Endorsement CA 99 33 02 99 (employees as insureds) states that any employee is an insured while using in the business of the named insured a covered auto that the named insured does not own or hire, and symbol 9 makes the employee's car a covered auto. It should be noted that the employee's personal auto policy is the primary carrier in this instance, even for the employer since he is covered under the employee's PAP by way of the definition of “insured” that includes any entity with legal responsibility for the acts or omissions of the named insured (the employee).