Insurance and Claims Reporting

Insurance Policies
1. General
  In compliance with the Babson College Driver and Vehicle Use Policy:
  1. Babson provides liability and physical damage insurance for all vehicles owned, rented, or leased in the name of the College.
  2. If a person is driving a College-owned, leased, rented or a personally owned vehicle y and on behalf of the College, that person is an individually insured driver under the College’s automobile insurance policies.
  3. Subject to section d. (below), the College carries liability insurance for personally owned vehicles driven by their owners for College business.
2. College Owned or Leased Vehicles
  1. The College’s insurance is primary coverage for liability and physical damage to vehicles owned or leased in the name of the college.
  2. The physical damage insurance is subject to a $1,000 deductible. If the accident is the fault of the College driver the deductible is charged back to the department or organization using the vehicle.
3. Rental Vehicles
  1. If an employee is traveling on College business in the United States, its territories, or possessions, the vehicle should be rented in the name of the College, using a PCard. The renter should decline the insurance offered by the rental company. The College’s insurance policies provide primary liability and physical damage coverage for a vehicle rented for College business.
  2. If an employee is traveling on Babson business in another country, the vehicle should be rented in the name of the College, using a PCard. The renter should purchase the insurance offered by the rental company. The College’s insurance policies provide excess liability and physical damage coverage for a vehicle rented for College business in another country.
4. Insurance for Personal Vehicles Used for College Business
  1. The insurance of the owner of a personal vehicle is the primary insurance when personally owned vehicles are used for College business.
  2. After the limits of the owner’s insurance are exhausted, College liability insurance covers property damages and injuries to other parties, including passengers, arising out of an accident involving a personally owned vehicle.
  3. The College’s insurance does not cover physical damage to personally owned vehicles. If an employee’s personal vehicle is damaged as a result of an accident while the vehicle is being used for College business, the physical damage provisions of the vehicle owner’s policy will apply. If the driver does not carry comprehensive or collision insurance, then she or he is responsible for the entire amount of the damage.
Claims Reporting

College Fleet Vehicles
1. Report all accidents involving vehicles owned, leased, or rented in the name of the College, to the Office of Risk Management.
2. The Office of Risk Management will coordinate claims reporting to the appropriate College insurers.
Personally Owned Vehicles
1. Accidents involving personally owned vehicles driven by employees required to do so as a condition of employment should also be reported to the Office of Risk Management and to the vehicle owner’s personal insurers.
2. The Office of Risk Management will facilitate claims reporting to the owner’s insurers, and will coordinate claims reporting to the College’s insurers as appropriate.