What to Do If You’re in a Car Accident While Driving a Company Car?

Getting into a car accident is stressful enough, but when the vehicle involved belongs to your employer, things can get even more complicated. Who is responsible for the damages? Will your employer’s insurance cover the costs, or are you personally liable? Understanding New Jersey’s laws on company car accidents can help you take the right steps to protect yourself and your financial future.

When Can an Employer Be Held Liable for a Company Car Accident?

New Jersey follows the legal doctrine of respondeat superior, which means an employer can be held responsible for an employee’s actions if the accident occurred within the scope of employment. This typically includes:

• Driving to a work meeting or event
• Making a delivery or running work-related errands
• Transporting clients or colleagues for business purposes
• Using the vehicle for any activity required by your job

However, an employer may not be liable if:

• You were using the company car for personal reasons at the time of the accident.
• You were committing a crime or engaged in reckless behavior (e.g., drunk driving, racing, etc.).
• You are classified as an independent contractor, in which case your employer’s insurance may not apply.

If you are unsure whether your employer is responsible for the accident, consulting a New Jersey personal injury lawyer can help clarify your legal position.

Potential Legal and Financial Consequences

Who Pays for Damages?

New Jersey is a no-fault insurance state, meaning that after a car accident, each driver’s Personal Injury Protection (PIP) coverage will typically pay for their medical expenses, regardless of fault (N.J.S.A. 39:6A-4). However, liability for property damage and other losses depends on who was at fault and the insurance policies involved.

• If you were at fault, your employer’s commercial auto insurance may cover damages, but there could be limitations.
• If another driver was at fault, their insurance should pay for the damages, and your employer may file a claim against them.
• If your employer tries to deny liability, they might argue that you were not acting within your work duties, potentially leaving you financially responsible.

Can You Sue for Injuries?

If you are injured while driving a company car for work purposes, you may be eligible for workers’ compensation benefits under New Jersey law (N.J.S.A. 34:15-1). This can cover medical bills and lost wages, but it generally does not allow you to sue your employer for additional damages. However, if another driver was at fault, you may be able to file a personal injury claim against them.

Steps to Protect Your Rights After a Company Car Accident

If you’re involved in a company car accident, follow these steps to ensure you’re legally protected and financially covered:

Call 911 and Seek Medical Attention

• Report the accident and request medical help if needed.
• Obtain a police report, which can be crucial in determining liability.

Document the Scene

• Take photos of vehicle damage, road conditions, and any visible injuries.
• Get contact information from witnesses.
• Exchange insurance details with other drivers involved.

Notify Your Employer Immediately

• Your company may have specific procedures for reporting accidents.
• Delayed reporting could lead to disputes over liability.

Contact Your Employer’s Insurance Provider

• If your employer has commercial auto insurance, their policy should cover damages.
• Be careful about giving statements without legal guidance.

Determine Workers’ Compensation Eligibility

• If the accident happened while performing work duties, file a workers’ compensation claim.
• This can help cover medical expenses and lost wages.

Consult a Personal Injury Attorney

• If there are disputes over liability or coverage, legal guidance can help protect your rights.
• A lawyer can help you file a claim against an at-fault driver for additional compensation.

Why You Need Legal Assistance

If you’re in a car accident while driving a company vehicle, determining liability can be complex. New Jersey’s no-fault insurance system, employer liability laws, and workers’ compensation rules all play a role in how damages are covered. Acting quickly and understanding your rights can make a significant difference in protecting yourself legally and financially.

If you need legal assistance after a company car accident, Rosengard Law Group is here to help. Our experienced New Jersey personal injury attorneys can guide you through the process and ensure you get the compensation you deserve. Contact us today for a free consultation.