Risk Management

What is considered a State Vehicle?

The Vehicle Use and Access Rules, OAR 125-155, defines these vehicles as follows:

• State vehicle - A motor vehicle owned, rented, borrowed, leased, or otherwise under the possession and control of the state. A commercially rented vehicle is a state vehicle if it is rented and used by a duly authorized employee at the cost of the state, solely for official state business.

For quick reference, please refer to the motor pool website at the following link:  http://motorpool.oregonstate.edu/drivers  All person(s) using a State Vehicle must complete a drivers authorization form, per the information that is provided on the motor pool website, which can be found at:  http://motorpool.oregonstate.edu/drivers/authorization  Please Note:  Each driver must be approved by your Dean/Director/Dept Chair or Designee for the department to utilize a State Vehicle by signing the drivers authorization form on behalf of the driver. 

Please review the OAR’s regarding state drivers prior to driving a State Vehicle.  They can be found at the web address below: http://arcweb.sos.state.or.us/pages/rules/oars_100/oar_125/125_155.html

Contractors:     OSU does not allow the use of State Vehicles by contractors.  See the State of Oregon Policy regarding contractors at: http://www.oregon.gov/DAS/SSD/Risk/SmartContractingToolkitDrivers.shtml

What does the self insurance cover?

It depends on the vehicle type/status.

State vehicle - The state provides physical damage, uninsured motorist, personal injury protection, and tort liability for   property damage or bodily injury to others.

Private vehicle - The state only provides excess liability coverage if the loss exceeds the private auto´s policy limits. There are conditions for coverage. There is no state coverage for property damage (collision or comprehensive coverages) to the private vehicle.

Only property the state owns, rents, leases, or personal property that the state agrees to cover by prior written agreement is covered by the state´s self insurance.

What is NOT covered under the Self Insurance Coverage?

• Personal Property - Even though you are traveling on state business, the state cannot cover your personal property that is lost, damaged, or stolen. Check your homeowner or renter’s insurance policy for coverage information. 


• Other - There are conditions for coverage.  You must be using either the state or private vehicle in accordance with the Vehicle Use and Access Rules, OAR 125-155, solely for authorized official state business within state directives. 
   
  The state’s automobile coverage is valid in the United States, its possessions, territories and Canada.

Vehicle Rental Guidelines

Hertz Car Rentals:  Please complete the rental using the following price agreement:  MASTER PRICE AGREEMENT VEHICLE RENTAL SERVICES PRICE AGREEMENT NO. 9949, Thru the State of Oregon, which does include discounted rates & the insurance coverage with the rental.
Enterprise Car Rentals:    Please use OSU account number is 46OR006, which can be used to receive discounted rates and it does include the insurance coverage with the rental.  Reservations can be made nationwide through OSU contracted travel agencies or directly through Enterprise Rent-A-Car, nationwide at 800-261-7331, or online at: http://www.enterprise.com/car_rental/home.do

Also, if you choose to use a different rental company, you should  purchase the CDW.  

Some things to keep in mind regarding the rental car based on how the rental is paid for:

If you direct bill OSU:
1.  You should only be using the rental car for business use.
2.  Only OSU employees should be traveling in the rental car. 

If you use your own credit card and then seek re-imbursement from OSU:
1.  You will want to keep track of your usage that would be considered personal, as the re-imbursement is normally pro-rated based on that time. 
2.  You can have passengers and drivers who are not OSU employees, based on the rental car rules regarding passengers, etc.
3.  The cost of the CDW insurance is reimbursable

Other items to be aware of:
1. General Liability coverage is provided to you through OSU as a secondary coverage(excess coverage). Your own insurance coverage would be the primary carrier for general liability.

2.  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 using this mailform. 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.

3.  OSU always recommends purchasing the insurances available from the Rental Company (including SLI AND CDW) when renting vehicles abroad.  It is very difficult to manage and coordinate a loss between the self insurance fund and a foreign country around liability.  In addition, DAS Risk did not renew its Foreign Liability coverage last year which had Foreign Auto Liability included on it, so the coverage defaults to the self insurance fund.  Employees should be reimbursed for this, especially if it is a required purchase by the country of travel.  

(CDW): Collision Damage Waiver covers the rented vehicle for collision damage and roll over caused by accident.  CDW is mandatory, but can be declined if the client has a credit card with coverage. If you decline CDW, you must take SLI (Supplemental Liability Insurance).  

(SLI): The Supplemental Liability Insurance covers your liability to third parties or properties resulting from auto accident.  If the SLI is declined, the lessee is responsible for all damages caused to third party and properties.

Driving in Foreign Countries:   The state’s automobile coverage is valid only in the United States, its possessions, territories and Canada.  Please refer to Number 3 above.