Legal Question in Insurance Law in Pennsylvania

accident when car is loaned and driver has their own insurance

I loaned my live in boyfriend my car some time ago, to use for work. He is a courier. He is required to carry certain coverages on his vehicle, he pays for this insurance through work. We have always been under the impression that as long as the office is notified, his insurance transfers to whatever vehicle he is driving. He was involved in an accident on his way to work, he rear ended another driver. My car is totalled. His insurance company is telling me that they will only pay in accordance to what coverage I carry on the vehicle. (I carry minimum state requirements). Can they do this?


Asked on 7/23/01, 8:06 pm

1 Answer from Attorneys
Richard Teitell Richard K. Teitell, Esquire, P.C.

Re: accident when car is loaned and driver has their own insurance

Your boyfriend's insurance company is obligated to pay in accordance with its policy provisions. Since it appears that he was at fault in causing the accident, it should be obligated to pay for the damage to your car, up to the liability limits of your boyfriend's policy, which under Pa. law has to be at least $15,000. I should add, that your policy should include a "full tort" selection. If you selected "limited tort" you should change it to "full tort." Otherwise you are not adequately covering yourself.

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Answered on 7/26/01, 10:28 pm


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