August 2008, Volume 20
Was he working?

Tony was instructed to meet Mitchell, his boss, at a service station so that Mitchell could direct Tony and other workers to a new logging site. They met as directed and Tony chose to drive his own vehicle to the site instead of riding with the others on the company bus. On his way to the site, Tony was killed in a head-on collision with another vehicle.

A claim filed for worker compensation benefits on Tony’s behalf was denied because of the “coming and going” rule. Since Tony was on his way to work, he was not covered. The argument was advanced that, since Mitchell directed everyone to meet him at the service station, Tony's workday began at the required meeting and his accident occurred on company time. The court disagreed and upheld the denial of workers compensation benefits.

Click here for more details on this court case.

Would every state have denied coverage for Tony?

While workers compensation coverage is standardized, it is also very state specific. The policy may read the same in every state but a section within the policy explains how the state specific workers compensation act applies. This means that two employees covered under the same policy will probably receive different benefits because they work in different states.

Click here to review the PF&M analysis of the Workers Compensation and
Employers Liability policy.

Would any coverage provide relief to Tony’s estate?

Tony was driving his personal auto at the time of the accident involving a head-on collision with another vehicle. Since he was not using his vehicle for business purposes, the coverage provided by his personal auto policy was available, including uninsured/underinsured motorists coverage if it had been purchased. In addition, Tony's estate could sue the driver of the other vehicle.

Click here to review the PF&M analysis of the Insurance Services Office (ISO) Personal Auto Policy.

Can you do it all?

You wear many hats as an insurance producer. What if Tony’s family was angry because his agent didn’t warn them that workers compensation coverage did not apply to him when he was driving to and from work? How far does the obligation to inform extend?

Click here to review two excellent
Rough Notes
magazine articles by
Don Malecki that might provide
some insight.

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