What Happens If A Company Car Hits You

Liability When Company Car Hits You

The unfortunate circumstance of being hit by a company car can have a myriad of legal consequences that could have a far reaching impact on both the company and the individual involved. There are numerous factors to consider when determining who is liable, including questions as to whether the driver was acting as an employee of the company at the time, whether they were on personal or business errands, and whether the accident was caused by negligence. For the purpose of this article, we will focus on some of the key legal considerations when it comes to company cars hitting people.
In general, when it comes to company cars, the company is considered to be the one who is liable for actions taken by its employees. This means that if an employee is operating a company car and engages in negligent behavior resulting in an accident, the company itself can be held accountable. This is based on the perception that the company has vicarious liability for the actions of its employees, and it will often be sentenced with financial damages for the accident.
However, the issue of whether a company is liable for its employee’s actions depends upon the specific circumstances of the case. In some situations, the company may be exempt, while in others it may assume all liability.
For instance, if an accident occurs while an employee is using the company car for personal reasons, the employer may be exempt from liability. In that case, the driver of the car would be solely responsible for any damages incurred. Similarly, if the employee’s actions were in violation of company policies and procedures, the company itself may be exempt.
Conversely, if an accident occurs while the employee is carrying out business activities in the company car, the company itself is likely to be deemed liable. This is because employees are entitled to assume that the company has taken all reasonable steps to ensure their safety while at work.

Insurance Coverage

When it comes to company car accidents, insurance coverage can also be a factor. Many companies purchase insurance policies that provide both liability coverage and personal injury protection (PIP). The liability coverage typically covers the company’s legal responsibility for damages suffered by another party if the company car is responsible for the accident. PIP, on the other hand, covers medical bills, lost wages, and other related costs for the individuals involved in the accident.
In cases where the company is not liable for the accident, the PIP coverage can be quite helpful. It can help to cover the injured person’s medical bills, rehabilitation costs, and other related expenses. However, it is important to note that in some cases, the PIP coverage may not be sufficient to cover the entire cost of the damages resulting from an accident.

Legal Representation

If you were the victim in an accident involving a company car, it is important to have legal representation to help ensure that your rights are protected and that you receive the compensation you are entitled to. Depending on the circumstances of the accident, it may be necessary to file a lawsuit against the company in order to obtain equitable damages, both economic and non-economic. Seeking the help of an experienced attorney is often vital to ensuring that justice is served in these types of cases.

Company Responsibilities

Employers have specific responsibilities when it comes to their employees’ use of company-owned vehicles. It is important for the employer to make sure that all safety guidelines are adhered to and that the vehicles are kept in a state of good repair.
Moreover, employers should ensure that the employees are properly trained in how to drive and maintain company-owned vehicles. They should also keep records of vehicle maintenance, scheduled repairs, and any motor vehicle violations that the employee has been involved in. This can be used to further protect the company in the event of a dispute or legal action.

Precautions to Take

It is also important for those who are involved in an accident with a company car to take certain precautions in order to protect their rights and interests. The first and most important step is to seek medical attention as soon as possible after the accident.
Additionally, it is important to document the accident as thoroughly as possible. This includes taking photographs, collecting information from witnesses, and obtaining as much proof as possible that the company car was at fault. It is also important to seek legal representation as soon as possible in order to ensure that all of your rights are protected.

Legal Impact

Being involved in an accident with a company car can have legal implications that extend beyond the usual civil law suit. Depending on the specifics of the situation, there may also be criminal penalties that must be taken into consideration. It is essential to seek legal advice from an experienced attorney in order to understand the full impact of the accident, both legally and financially.
Additionally, the company itself may be found liable for the actions of its employees in court. This could subject the company to significant financial costs and potential criminal charges. Therefore, it is important for companies to take all the necessary precautions to ensure the safety of the employees and other individuals involved when any of its vehicles are in use.

Driver Responsibility

The driver of the company car is also responsible for their actions while they are operating the vehicle. This means that they should be held accountable for any accidents that occur as a result of their negligence. Companies have the right to discipline their employees if they are found to have acted negligently or to have violated company policies and procedures.


When a company car hits someone, the repercussions can be far-reaching both legally and financially. It is important to understand the various factors involved, including the driver’s responsibility, the company’s liability and the insurance coverage that may be in place. Furthermore, it is crucial to take all the necessary steps to ensure that the rights of all parties involved are protected.

Marjorie Turcios is a seasoned leader and management expert with over 25 years of experience. She has held various leadership positions in private industry, government, and education. She is an advocate for creating win-win solutions and has worked to create successful, lasting change in corporations and organizations. Marjorie is an award-winning author of several books on leadership, mentoring and coaching, and effective communication skills. Her passion is to help others discover their potential and reach new heights in their professional life through her writings. Marjorie resides in Dallas, Texas where she enjoys spending time with her family, traveling to different places around the world, and speaking at conferences about her areas of expertise.

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