What it does
Symbol 8 covers autos the business hires, but a car rented on an employee's personal credit card, in the employee's name, is not hired by the named insured. CA 20 54 closes that gap in two ways:
- It adds employees as insureds for Covered Autos Liability while operating an auto hired or rented under a contract in the employee's name, with the named insured's permission, while performing duties related to the business.
- For hired auto physical damage, it deems both autos the named insured leases, hires, rents or borrows and autos rented by an employee for the business to be covered autos the named insured owns. Autos leased or rented with a driver are still not covered.
The 10 13 edition modifies the auto dealers, business auto and motor carrier forms; the current edition is 11 20.
Who needs it
Companies with traveling employees: sales teams, consultants, engineers, field auditors, construction managers.
Quoting and selling notes
- The policy must carry hired auto liability (symbol 1 or 8) and, for damage to rental cars, hired auto physical damage symbols and limits.
- Compare with the company's travel policy on buying rental-company damage waivers, so employees know which protection applies.
- Volunteers renting autos in their own names use CA 04 39 instead.
