Risk Management

Although it may seem more convenient or less expensive for employees and students to use a personally owned vehicle while on official university business, there are a few topics listed below that employees and students should review prior to using their personal vehicles for university business.

Personal Vehicle Insurance Coverage and Requirements

Employees and students using their own vehicles on official university business are required to carry auto liability insurance with minimum limits as required by the State of Oregon. An employee or student’s insurance coverage is always considered primary, even when it is being used for official university business. This same policy applies to employees using their vehicle only on occasion for business as well as those required to use their personal vehicle as a condition of employment. Some standard auto policies exclude coverage when using your personal vehicle for business use. Please check with your agent or carrier to determine if coverage is automatically provided for business purposes.

Personal Vehicle Passengers

When employees and students use their private vehicles for university events, they assume responsibility for passengers they transport.

Reimbursement Guidelines for Personal Vehicle Use and Accidents

Employees using their own vehicle for university business should submit university travel mileage as a reimbursement expense. The university’s travel reimbursement program incorporates insurance expenses into the mileage rate calculation for personal vehicle use. Therefore, it is important to know that the university will not:

• reimburse employees, students, (or other private owners) or their insurance company for any liability claim paid by their auto insurance policy.
• pay for physical damage to the vehicle or any deductibles.
• reimburse employees or students for increased insurance rates that insurance companies impose due to the vehicle being used for business purposes.
• reimburse employees or students for increased premiums due to accidents incurred while on official university business.
• be responsible for cancellation of insurance coverage due to the vehicle being used for business purposes.

Important Accident Reporting Information

In the event you are involved in an accident in a private or non-owned vehicle (i.e. rented or borrowed) while you are conducting university business and working within the course and scope of your employment duties, report the accident immediately to the Office of Risk Management at risk@oregonstate.edu. This is a critical step to ensuring protection under the Oregon Tort Claims Act as well as putting the State of Oregon Insurance Fund on notice if this coverage is needed for “excess” protection.