Auto Liability Insurance Program
As a state agency, the university is included in the state of Montana’s self-insurance programs under the provisions of Title 2, Ch. 9, Montana Codes Annotated. These programs include auto liability coverage to defend against claims or lawsuits arising from property damage or personal injury. The state’s self-insured auto liability coverage does not include uninsured motorist, underinsured motorist or medical payments coverage. The state ARM Rule State Vehicle Use /Authorized Drivers and Uses only state and/or university employees are authorized to drive state-owned, rented, loaned or leased vehicles. Montana State University employees are covered byWorkers’ Compensation in case of injury in an auto accident while on university business.
Certificate of InsuranceProof of auto liability coverage. Always keep inside MSU-owned vehicles, but remove from rental vehicles upon return.
MSU Insurance Report Request Form
This form is required to both add vehicles to the physical damage auto schedule, and to remove vehicles from having this coverage. Coverage begins upon receipt of this completed form at SRM.
Auto Physical Damage Insurance Program
The state of Montana’s self-insurance program also includes auto comp/collision coverage for physical damage to state-owned, rented, loaned or leased vehicles. To schedule vehicles for coverage please complete the Insurance Report and send it to both the SRM Insurance Manager and the Fleet & Preventative Maintenance Manager at Facilities Services. The Fleet & Preventative Maintenance Manager also titles, registers, and licenses the university’s owned vehicles, and assesses the annual recharge to departments for the liability and comp/collision coverage.
Vehicles that are rented or leased for less than 30 days are automatically covered for physical damage. Vehicles that are rented or leased for longer than 30 days must be reported using the Insurance Report to extend physical damage coverage.
Driving Personally-Owned Vehicles
The state’s self-insurance program does not cover auto liability for state employees who use personally-owned vehicles to conduct state business. The vehicle owner’s coverage is primary in case of an accident. Although the university allows for incidental use of personally owned vehicles if used rarely and for low risk activities, you are required to use a state-owned, rented, loaned or leased vehicle if the activity includes some risk. Please contact Safety & Risk Management if you need assistance with risk assessment.
Individuals who use a personally owned vehicle for low risk MSU business purposes should check with his/her insurer regarding a “business use endorsement” to his/her auto policy. This additional coverage may prevent your policy being canceled should you become involved in an accident while using your vehicle to conduct university business.
Free Physical Damage Coverage for Rentals
Insurance coverage is included when you use one of the university’s four options for domestic vehicle rental found on Facilities Services Transportationwebsite. MSU faculty, staff and students who rent vehicles to conduct MSU business are expected to use one of these options when renting vehicles. Be sure to list the renter’s name and Montana State University as the lessor/named insured on the rental agreement. Additional drivers may be covered if they are listed as additional drivers on the vehicle rental agreement at the time the vehicle is rented. Coverage area is the U.S. and Puerto Rico.
Free insurance coverage under the VISA Auto Rental Collision Damage Waiver Program is also available for travelers who use their MSU Visa purchasing card to pay for the vehicle rental. Travelers must initiate and complete the entire rental transaction with an eligible Visa card embossed with their name for the coverage to be in effect. The MSU VISA purchasing card should be used for all foreign rentals, including Canada, since the coverage is worldwide.
Always decline the vehicle rental company’s collision damage waiver option for domestic rentals. Those who are traveling outside of the United States DO have to purchase local vehicle liability insurance if required by local law in the country they are travelling to. Even though the VISA card provides it, travelers should also purchase the vehicle comprehensive/collision coverage if it is required by local law in foreign countries; if not required, then decline the coverage. This includes Canada and Mexico.
Please use either the state rental contracts or the VISA purchasing card to ensure coverage. There is no deductible for damage to rented vehicles with either of these programs.
If case of an accident a Report of Incident must be completed by the MSU faculty, staff or student driver and sent to SRM within five days of the incident. SeeIncident Reporting for additional information.
For more information, contact the Insurance Manager with MSU Safety & Risk Management at (406) 994-6888 or [email protected].