Car insurance Employer Indemnity Letter
Discussion
I have taken out a car insurance policy with business use included with LV.
It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work.
Several LV staff did not understand what this is but when explained and referred to a manger they said it would be issued.
This is a standard requirement from every employer yet LV are now refusing to provide such a letter.
Has anyone experienced this and what did they do? It's bizarre considering LV being a mainstream insurer.
It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work.
Several LV staff did not understand what this is but when explained and referred to a manger they said it would be issued.
This is a standard requirement from every employer yet LV are now refusing to provide such a letter.
Has anyone experienced this and what did they do? It's bizarre considering LV being a mainstream insurer.
mcflurry said:
Wouldn't a copy of your insurance policy showing Business cover meet their requirements?
Apparently not. LV sent a letter confirming business use instead of an Indemnity letter, which they were supposed to send.I've sent it to my employer but they are quite specific about an indemnity letter.
I had business cover on my car insurance for the last 20 years, and found that it didn't make any difference to the cost of the policy.
I was never asked for anything other than a copy of the insurance certificate by my employers, and hadn't heard of anyone needing something different till now.
I was never asked for anything other than a copy of the insurance certificate by my employers, and hadn't heard of anyone needing something different till now.
ATC110 said:
I have taken out a car insurance policy with business use included with LV.
It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work..........
This is a standard requirement from every employer yet LV are now refusing to provide such a letter.
Has anyone experienced this and what did they do? It's bizarre considering LV being a mainstream insurer.
No.It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work..........
This is a standard requirement from every employer yet LV are now refusing to provide such a letter.
Has anyone experienced this and what did they do? It's bizarre considering LV being a mainstream insurer.
As everyone else here, I just need to provide a copy of my insurance policy with business use specified on it.
Your employer is weird, I’ve never heard of anything like that before.
I’m not surprised the insurer doesn’t want to issue an indemnity letter if it’s not something they already have a process for, it would need to be carefully drafted to make sure it didn’t open them up to extra costs.
Maybe ask your employer which insurers they have had an indemnity letter from and speak to those insurers.
I’m not surprised the insurer doesn’t want to issue an indemnity letter if it’s not something they already have a process for, it would need to be carefully drafted to make sure it didn’t open them up to extra costs.
Maybe ask your employer which insurers they have had an indemnity letter from and speak to those insurers.
ATC110 said:
I have taken out a car insurance policy with business use included with LV.
It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work.
Several LV staff did not understand what this is but when explained and referred to a manger they said it would be issued.
This is a standard requirement from every employer yet LV are now refusing to provide such a letter.
Has anyone experienced this and what did they do? It's bizarre considering LV being a mainstream insurer.
Is this a private or public employer? I’ve never had any employer ask for such a letter I have only ever been asked for proof of business use. It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work.
Several LV staff did not understand what this is but when explained and referred to a manger they said it would be issued.
This is a standard requirement from every employer yet LV are now refusing to provide such a letter.
Has anyone experienced this and what did they do? It's bizarre considering LV being a mainstream insurer.
ATC110 said:
It was taken out on the basis they would issue an Employer Indemnity letter indemnifying my employer from any claims arising when using the vehicle for work.
They can't issue a letter saying they will offer indemnify from "any claim" because they don't know the circumstances of the possible claim. It might not be covered. Example, your employer gives you some paperwork that gets stolen along with your car whilst you were using it for business. The loss of this paperwork results in a large financial loss for your firm. That loss your firm has suffered ain't gonna be covered, but if they've issued the letter with the wording you suggest, they'd have to pay it. I have used my personal car for business related travel at several companies without receiving such a request.
What I have discussed or rather told my employer (in writing) is my car insurer has no insurable interest in any company equipment or materials that I might be carrying during travel on their behalf. They didn't have any issue with this.
Basically if their equipment gets damaged in say an accident they aren't looking to my insurer for the loss, some of the kit was expensive a loaner item we had was north of 7 figures to replace.
Just to add, if your work aren't happy then just get them to hire a vehicle for you when needed and don't use your car for business. They can have the insurance pissing contest to deal with as they are being odd about it.
What I have discussed or rather told my employer (in writing) is my car insurer has no insurable interest in any company equipment or materials that I might be carrying during travel on their behalf. They didn't have any issue with this.
Basically if their equipment gets damaged in say an accident they aren't looking to my insurer for the loss, some of the kit was expensive a loaner item we had was north of 7 figures to replace.
Just to add, if your work aren't happy then just get them to hire a vehicle for you when needed and don't use your car for business. They can have the insurance pissing contest to deal with as they are being odd about it.
Edited by FMOB on Saturday 23 March 15:56
Your employer will not get what they are looking for from any motor insurer.
Your employer will have a liability policy which will likely include contingent motor insurance and will read like this -
Motor Contingent Liability
The Insurer will indemnify the Insured in the terms of this Section against liability arising out
of the use in connection with the Business of any vehicle not owned, provided or being driven
by the Insured but this Section does not cover liability
a in respect of loss of or damage to such vehicle
b arising out of any such use in any country outside the European Union
c incurred by any party other than the Insured
d incurred by any party identified in Extension A. (Indemnity to Other Parties) other than an Employee.
They are looking for another insurer to hold harmlesss where the actual route of claim is via subrogation.
I'd show them that you are covered for business use and that's the best you can give them. If they want it another way they buy you a car and insure it.
Your employer will have a liability policy which will likely include contingent motor insurance and will read like this -
Motor Contingent Liability
The Insurer will indemnify the Insured in the terms of this Section against liability arising out
of the use in connection with the Business of any vehicle not owned, provided or being driven
by the Insured but this Section does not cover liability
a in respect of loss of or damage to such vehicle
b arising out of any such use in any country outside the European Union
c incurred by any party other than the Insured
d incurred by any party identified in Extension A. (Indemnity to Other Parties) other than an Employee.
They are looking for another insurer to hold harmlesss where the actual route of claim is via subrogation.
I'd show them that you are covered for business use and that's the best you can give them. If they want it another way they buy you a car and insure it.
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