Getting into a car accident in Philadelphia is stressful enough on its own – but what if you were driving a company vehicle at the time of the collision? You might feel especially overwhelmed in this situation since you were driving your employer’s car rather than yours, and you might not be sure about what to do next.
Fortunately, you likely have legal options available to you in this scenario regardless of whether you caused the car accident or were the victim. Pennsylvania’s “choice no-fault” car insurance system can also work in your favor in this scenario.
Read on to learn more about what to do if you crash a company car in Philadelphia, Pennsylvania.
Background: How Car Insurance Works in Philadelphia
Pennsylvania is one of just a few states that has a “choice no-fault” car insurance system. Drivers have the option of selecting either “limited tort” or “full tort” coverage.
Limited tort coverage allows accident victims to pursue claims for full damages against at-fault drivers only in limited circumstances (such as if they suffer a serious injury as defined by state law). Full tort coverage does not have this limitation, but it costs more.
In either event, all drivers in Pennsylvania must carry the following minimum amounts of insurance:
- $5,000 in medical benefits coverage, which is no-fault insurance that drivers can utilize regardless of whose fault the accident was
- $15,000 in bodily injury liability per injured person
- $30,000 in total bodily injury liability per accident
- $5,000 in property damage liability
Drivers can purchase more than these amounts or additional types of insurance as well, such as uninsured/underinsured motorist coverage (UM/UIM).
If the Accident Was Not Your Fault
Generally speaking, car insurance in Pennsylvania follows the vehicle, not the driver. As a result, you’ll first need to look at the insurance policy your employer has in place for the company car.
If you weren’t at fault for the crash and the company car has “limited tort” coverage, you can only collect full damages from the other driver (such as for your pain and suffering and other similar consequences) if your injuries are serious. However, you can likely still utilize the medical benefits coverage attached to the policy, and you may be able to file a claim for property damage and other financial losses.
Alternatively, if the vehicle has “full tort” insurance, you can pursue a claim against the responsible driver, no matter how serious the collision was.
Either way, it’s best to notify your employer of the crash as soon as possible – they will need to be involved in the proceedings.
If the Accident Was Your Fault
If you were responsible for the accident, your best course of action might look quite similar – depending on how severe the crash was. Here, too, the insurance policy your employer has attached to the vehicle will largely determine your next steps. You’ll want to notify your employer as soon as you can after the accident.
In this circumstance, however, the other driver’s chosen insurance option could play a role as well. If they selected “full tort” insurance, they can file a claim against your employer’s policy for the car, and it won’t matter how serious the accident was. If, instead, they have “limited tort” coverage, they may only take this step if their injuries are severe.
In the event that the accident is quite serious and your employer’s coverage doesn’t cover all of the victim’s losses, this is where things can become more complicated. It’s possible that the victim could file a lawsuit against you personally to collect their remaining damages, but it’s also possible that your employer may be held liable.
Vicarious liability is a legal principle that allows, in this context, an employer to be held legally responsible for the actions of an employee. However, the employee must have been acting within the scope of their employment at the time of the accident.
For example, this principle might apply if you were taking the company car to a meeting, but it might not if you were driving the car to get groceries.
An Experienced Car Accident Lawyer Can Help
Depending on the facts and circumstances, being involved in an accident while driving a company car in Philly can be more complex than if you were driving your own vehicle. However, Philadelphia car accident attorneys know that Pennsylvania’s insurance system might also streamline the process of sorting out liability and compensation.
No matter the nature of your collision, it may be in your best interest to meet with a car accident attorney to review your options. Since most lawyers in this area of the law offer free initial consultations, you can get some legal advice at no charge.
