Can You Be Sued for an Accident in a Company Vehicle?
Yes, you can be sued if you get into an accident while driving a business vehicle. In Texas, depending on the circumstances of the accident, both the driver and the employer may be found legally liable. Liability is often determined by who was at fault and whether the driver was acting within the scope of their employment at the time of the crash.
Even though businesses usually carry commercial auto insurance, that coverage does not automatically prevent lawsuits from being filed.
When the Employer Is Liable
Employers are frequently held accountable for mishaps that occur when workers are carrying out their tasks. Respondeat Superior is the name of this legal doctrine. According to this theory, if an accident happens while an employee is performing their job duties, the employer may be held accountable for the worker's activities.
For instance, the employer's commercial motor insurance coverage will normally cover damages like medical bills, property damage, and legal defense costs if a delivery driver is involved in an accident while making deliveries. Nonetheless, the wounded individual has the right to sue the business and the driver.
When the Driver May Be Personally Liable
The employee driver may be held personally liable in certain circumstances. This frequently happens when a driver is involved in an accident while acting beyond the parameters of their job.
Examples include:
- Using the company vehicle for personal errands
- Driving under the influence of drugs or alcohol
- Engaging in reckless or illegal driving
- Driving without authorization
In these cases, the employer may argue that the driver was not performing work duties, which could shift more legal responsibility onto the individual driver.
How Insurance Coverage Works
Most businesses carry commercial auto insurance to protect against accidents involving company vehicles. This coverage typically includes:
- Liability coverage for injuries and property damage
- Legal defense costs if a lawsuit is filed
- Coverage for damage to the company vehicle
However, insurance policies have limits. If damages exceed those limits, the injured party may attempt to pursue additional compensation through a lawsuit.
What to Do After an Accident
You should contact your employer and the insurance company right away if you are in an accident while operating a work car. Keep a record of the incident, share information with other drivers, and, if you can, get a police report. In order to ensure that the claim is handled appropriately and reduce the possibility of legal problems, prompt notification and cooperation with the investigation are essential.
