SFSU Safety and Risk Management | State Vehicles

SFSU Office of Safety and Risk Management

State Vehicles

Vehicle Liability

Vehicle Liability Coverage

State Owned Vehicles
Privately Owned Vehicles
Rental Vehicles
Rental Vehicles (for out-of-state use)
Physical Damage

State Owned Vehicles

The State Motor Vehicle Insurance Account (SMVIA) provides third party liability coverage for the drivers of self-propelled land vehicles. Covered employees included state employees and other persons given permission by the State to operate the vehicle on State business. The repair of the damaged State vehicle is paid (budget permitting) by the budget of the department that owns the vehicle.

Privately Owned Vehicles

Personal liability insurance is primary coverage when a private vehicle accident occurs during official state business. Employees who drive their personal vehicle on State business must annually verify personal auto liability (form STD 261 Authorization to Use Privately Owned Vehicles on State Business) to the person authorized to approve travel expense. The SMVIA will provide coverage only after the private carrier's policy limits are exhausted by payment. Refer to SAM section 0754, 2420 and Vehicle Code Section 16020 et seq.

An employee may seek relief from out-of-pocket expenses such as an insurance deductible from the California Victim Compensation and Government Claims Board (formerly known as the State Board of Control) in the event of a vehicle accident while on state business.

The self-insurance program does not provide for loss or damage to private vehicles, state vehicles, or CSU vehicles. The insurance is designed only to reimburse third parties when the accident is the fault of the state driver.

Rental Vehicles

State contracted auto liability coverage applies only when the employee uses the uses the American Express (State) Government Card card for rental car payment. The exception to this payment rule is a direct billing arrangement authorized by the Enterprise Rent-A-Car vendor on campus (Local FAX Authorization, Traveling FAX Authorization). Cash, personal checks and personal credit cards are prohibited forms of payment for State contracted commercial car rentals.

The designated State Commercial Car Rental vendors for in-State travel is the primary rental car vendor, Enterprise Rent-A-Car. In the event Enterprise is unable to provide service, the secondary rental car vendor, Vanguard Car Rental USA (parent company of National and Alamo) must be utilized.

To obtain the State of California contracted rental car rate and the vehicle liability coverage, SFSU employees must provide the American Express (State) Government Card at the time of rental as evidence of a state employee's travel status. State employees should decline any separate vehicle liability insurance purchase because of the coverage already provided through the State of California Commercial Car Rental contract. Optional vehicle insurance purchase is not a reimbursable State travel expense.

San Francisco State University employees are encouraged to make car rental reservations with Fell Travel (800) 321-3355, the University's travel agency. If you elect to reserve your car rental online at the Fell travel website, select the SFSU Reservation form. Fell Travel will make the appropriate car rental reservation for SFSU employees exclusively from Enterprise Rent-A-Car to invoke the associated vehicle liability coverage. Only in cases where Enterprise Rent-A-Car is unable to provide service, (Vanguard Car Rental USA) Alamo or National will be used. Fell Travel will Email all travel and car rental confirmations to the traveler. When phoning Fell Travel for car rental reservations for State business, remember to provide the car rental State of California Corporate I.D. number and your Campus Department's chartfield value. Other travel related questions should be directed to the campus Fiscal Affairs Travel operations.

The State of California contracted car rental agency will maintain in force, liability insurance coverage to protect and defend the State of California and it's State employees against liability for personal injury, death and property damage arising from the use of the vehicle up to $500,000 per occurrence for combined bodily injury and property damage. Loss or damage coverage to a rental vehicle is NOT provided when the State driver contributes to an accident while operating the vehicle under the influence of alcohol or any illegal non-prescription drug and/or was operating the vehicle for any intentionally illegal purposes.

Review the Office of Fleet Administration (OFA) website for the current State of California Commercial Car Rental Contract which cites specific information on employee identification and payment and insurance requirement information.

Please note that a rental vehicle used on state business MAY NOT be driven for personal use at the conclusion of the state business. The State contract does not cover for any liabilities scheduled beyond official state business. If the rental vehicle is needed beyond official state business, the employee must return the rental vehicle and obtain a new rental contract for personal use.

Contact the Statewide Travel Management Program Administrator in the Office of Fleet Administration (OFA), Department of General services for further information about the State of California Commercial Car rental contract.

Wendy O'Donnell, Statewide Travel Management Program Administrator
DGS Office of Fleet Administration & Asset Management
(916) 928-2529

Rental Vehicles (for out-of-state use)

State Motor Vehicle Liability Self-Insurance (VELSIP) vehicle liability coverage is valid anywhere in the world where it is not prohibited by law. For example, in Mexico their law requires all drivers carry Mexican auto insurance while driving in their country.

Enterprise Rent-A-Car must be used for domestic, out-of-state car rentals. In the event that Enterprise is unable to provide service, the secondary car rental vendor, Vanguard (which includes National or Alamo) must be used for domestic, out-of state car rentals.

Due to regional insurance coverage differences, employees are advised to contact the Office of Risk and Benefits Management at (415) 338-2565 prior to making international (i.e. outside of the U.S., Europe, Canada, Mexico, Asia, etc.) car rental arrangements for specific information and assistance in obtaining adequate car rental insurance coverage. Employees are advised to utilize Enterprise for car rentals in Canada. Then for other international car rentals, employees are advised to utilize Vanguard (specifically, National Rental Car).

Physical Damage

Commonly referred to as collision and comprehensive coverage, physical damage coverage is not provided by the SMVIA for state vehicles, privately owned vehicles, or rental cars used on state business. However, the employing state agency or department may reimburse damage for losses to privately owned vehicles. Refer to SAM Section 0759. Rental vehicle physical damage reimbursement, refer to SAM Section 0759.5 and Dept. Of Personnel Administration (DPA) Rule 599.630.

Office of Riskand Benefit Management, San Francisco State University, 1600 Holloway Avenue, San Francisco, CA 94132
riskmgmt@sfsu.edu
Last modified 04/08/2008