What is a passenger in business class motor insurance

batman1

Having recently got a new job I had to get class 2 business cover as I use my own car. No problem there, but the broker asked me if I carry passengers. I said no but might give a lift to a colleague, or vice versa. We are based in one site but would visit other sites once or twice a week. The broker told me I am not covered for doing that because they are a passenger. I asked him what defines a passenger as they are not paying me to get a lift. He couldn't give me a proper answer, not could the insurance provider.

So, can anyone explain the ins and outs of business cover in relation to giving a lift to a colleague, or indeed receiving a lift from a colleague, or what type of cover would then be required. I'm sure it's a very common thing to do this

_Brian

Mine covers me to go to and from work sites and carry nothing more than paperwork, laptop and other simple paperwork.
No “work equipment” to be transported and not to carry workers to and from sites.

My insurer said to comsider any travel which I am being reimbursed for to be covered with such restrictions.

CeilingFly

If you are giving a colleague a lift on your way to work as a personal favour, then that's fine.

If however part of your job or if you have been requested by your employer to bring your colleague to work, even if no payment is provided, cover is required.

I'd hazard a guess that if the colleague had their own transport and purely on a personal level the two of you decided to travel together and it was not dictated by anything other than a personal decision between the two of you, there'd be no issue. But I'd get it checked.

batman1

CeilingFly wrote: »

If you are giving a colleague a lift on your way to work as a personal favour, then that's fine.

If however part of your job or if you have been requested by your employer to bring your colleague to work, even if no payment is provided, cover is required.

I'd hazard a guess that if the colleague had their own transport and purely on a personal level the two of you decided to travel together and it was not dictated by anything other than a personal decision between the two of you, there'd be no issue. But I'd get it checked.

Yes, it is just that. A personal agreement between us. It could just as well be giving a friend a lift. They drive sometimes and I drive sometimes, most times I drive on my own. At times, due to us living in opposite parts of the area, we will meet up at a car park or whatever and then one of us will drive on to our meeting and then drop off on the way back.
There's no employer requirements other than we have to have our own business cover to indemnify them and claim a mileage allowance.
It's our own personal car, not a company car.

_Brian

batman1 wrote: »

Yes, it is just that. A personal agreement between us. It could just as well be giving a friend a lift. They drive sometimes and I drive sometimes, most times I drive on my own. At times, due to us living in opposite parts of the area, we will meet up at a car park or whatever and then one of us will drive on to our meeting and then drop off on the way back.
There's no employer requirements other than we have to have our own business cover to indemnify them and claim a mileage allowance.
It's our own personal car, not a company car.

Mines not a company car either.
They said anything I was claiming for was business use and so wasn’t to be carrying other employees or any equipment other than what I need for meetings.

coylemj

I had class 2 on my personal car but I never heard of any restriction on carrying colleagues. I had the stuff about not carrying goods or samples and not being involved in sales but that was it.

Say your company decides to have an employee get-together in the Citywest hotel. You have a basic social, domestic and pleasure policy on your personal car i.e. there is no business cover. Does that mean you can't give a colleague a lift to the meeting?

CeilingFly

coylemj wrote: »

I had class 2 on my personal car but I never heard of any restriction on carrying colleagues. I had the stuff about not carrying goods or samples and not being involved in sales but that was it.

There is a descernible difference.

Some places where work is off site may request a staff member to collect people as part of their position. That requires additional insurance.

Example would be my wife who works in social care and would bring people to various jobs or outings in her car.

She has to have insurance for carriage of people within the scope of her work (they pay the extra)

In the ops case, it's a colleague to colleague, casual arrangement that is not dictated by any work description, hence there should be no problem.

coylemj

CeilingFly wrote: »

There is a descernible difference.

+1 I went back over your first post (#3) and I can see your point. Agree 100%.

Marcusm

coylemj wrote: »

I had class 2 on my personal car but I never heard of any restriction on carrying colleagues. I had the stuff about not carrying goods or samples and not being involved in sales but that was it.

Say your company decides to have an employee get-together in the Citywest hotel. You have a basic social, domestic and pleasure policy on your personal car i.e. there is no business cover. Does that mean you can't give a colleague a lift to the meeting?

If you were carrying a colleague to a business event with the knowledge of the employer (plus likely claiming mileage) then the employer would likely be exposed to a claim in the event of an accident. By disclaiming responsibility in those circumstances, the insurer would effectively be trying to force the colleague to claim only from the employer and not from the employee’s insurance, ie not being part liable. Whether it has that effect in law yet s probably untested.