vehicle as a public or livery conveyance

Public conveyance: Making the vehicle available for public use (like a common carrier).

Let's define both terms to clarify coverage (or the lack thereof). Although generally phrased as one concept, public conveyance and livery conveyance are actually two different threshold requirements (notice the “ or' between the terms). For that 'insured's' liability arising out of the ownership or operation of a vehicle while it is being used as a public or livery conveyance.ĭoes an employee delivering food qualify as either public or livery conveyance? If so, the PAP provides no coverage. We do not provide Liability Coverage for any 'insured':ĥ. The applicable part of this exclusion reads:Ī. Public or Livery Conveyance Exclusions: This exclusion may have more teeth. The PAP excludes the use of an auto when being used in an auto-related business (sales, service, repair, etc.), unless the car is owned by the named insured, a family member or others provided the car is listed on the PAP. Whether the PAP provides liability coverage for food delivery is a function of two exclusions: the business use exclusion and/or the public or livery conveyance exclusion.īusiness Use Exclusion: The business use exclusion is a non-factor in this discussion. The focus here is solely on food delivery by the employee of one restaurant. Does the personal auto policy cover food delivery? Note that as this question is answered, Grub Hub, Uber Eats and every other such app-based food delivery service are completely ignored.

Who is covered by the BAP, if coverage is provided?ĭecades ago, pizza and maybe Chinese food delivery began the PAP's delivery coverage debate.Is coverage provided by the business auto policy (BAP) for employees using their personally-owned autos for food delivery?.Is there liability coverage in the personal auto policy (PAP) for food delivery?.The questions that must be answered include: Let's begin by looking at the reality of coverage when the employee is using his or her personal auto to make deliveries for the restaurant. The more complicated answer is, yes, the restaurant is covered, but is that coverage adequate for the restaurant and the employee? The simple answer is, yes, the restaurant is covered for its auto liability exposure – well, maybe there is coverage. What appears to be two simple questions simply aren't. How does a restaurant's business auto policy respond to food delivery when they have the coverage?.

Is the restaurant covered for food delivery if it does NOT have a business auto policy and.With that reality in mind, two questions arise: Thousands of restaurants engage in food delivery.

Vehicle as a public or livery conveyance