2. Insurance
  3. Motor Vehicle Insurance

Motor Vehicle Insurance

Travelers Insurance Company administers the State of North Carolina liability insurance program and handles claims. All state-owned self-propelled vehicles are required to be insured for liability. University departments may also purchase comprehensive, collision, and medical payments coverage through the program.

Your Coverage Explained:

  • Liability: If you cause an accident and damage someone else’s vehicle or property, provides coverage for the repairs to the other party’s vehicle/property and medical bills if you hurt someone in the accident. Does NOT cover damage to your own car or your own injuries, just the other person’s. REQUIRED for all self-propelled motor vehicles operated on land, but excluding those on stationary tracks or rails.
  • Collision: Coverage for repairs if your vehicle is damaged from an accident (i.e., you hit another car, a tree, a deer, etc).
  • Comprehensive: Coverage for repairs if your vehicle gets damaged by things like fire, theft, vandalism, or natural disasters (like a big storm or flood).
  • Medpay (Medical Payments): Coverage providing support for medical costs if you or your passengers get hurt in a car accident, regardless of who is at fault. Medical bills might include things like doctor visits, hospital stays, and even ambulance rides. This coverage is REQUIRED for 15-passenger vans and is HIGHLY recommended for any vehicles that are used for transporting students.

Adding a Vehicle to Insurance

NCGS § 58-31-50 requires all state-owned vehicles (“self-propelled motor vehicles operated on land but excluding those on stationary tracks or rails”) have liability insurance. This requirement applies to every department, agency or institution of the State. The liability insurance program is administered by Travelers Insurance Company on any automobile licensed to or operated by the State or its employees.  If you have a University-Owned vehicle and followed the MotorPool Procurement process correctly (University Policy 507.19),  no further action is needed from you to ensure the vehicle is receiving liability coverage.

If you have a University-Leased or Rented (non-Enterprise) vehicle, please download and email the Vehicle Addition/Deletion Request Form to the ERM office to request coverage for your vehicle.

Rental Vehicles

To add a departmental rental vehicle to the University’s Auto Insurance Schedule, please complete the Vehicle Rental Insurance Form.

Note – Enterprise vehicle rentals obtained through the State Term Contract for corporate use do not need to be added to insurance due to Enterprise providing a damage waiver.

State Contract

One can rent a vehicle through Enterprise using the Statewide Term Contract using App State’s custom account number. If the vehicle will be used for corporate purposes, extra coverage will be provided.

  • Enterprise covers the vehicle but does not cover personal contents in the vehicle.
  • 15-passenger vans are not covered under the State Term Contract.

Rental Vehicle Accident

Notify Enterprise and follow their claim procedures.

Vehicle Accident

In the event of an automotive accident involving a state vehicle, please report the incident to the Office of Enterprise Risk Management.

Questions about Vehicle Insurance

Who can drive an AppState vehicle (owned or leased/rented)?

Only employees of App State.

I was in an accident in a state vehicle. What do I do?

Obtain a police report. Notify Motor Pool Management and the Office of Enterprise Risk Management. As soon as possible, complete the Auto Loss Reporting Form. ERM may contact you to confirm details and/or request more information.

When traveling on behalf of the University in an App State Owned Vehicle, coverage is provided under the University’s Auto Liability and Auto Physical damage insurance policies.

If I use my personal vehicle on University business, am I covered if I get in an accident?

Claims of accident or damage to personal vehicles of employees that are being used for official University business should be made through the employees’ primary auto insurance policy. The State’s liability insurance may provide excess liability coverage after all valid and collectible insurance has been exhausted. The State’s automobile insurance will not reimburse individuals for deductibles under their private insurance. Individuals who use their personal vehicle for State business on a routine basis should report the same to their insurance company for rating purposes.

I rented a vehicle from Enterprise through the State Term Contract and was involved in an accident. What do I do?

Notify Enterprise and follow their claim procedures.

The State Term Contract allows us to rent vehicles and not get charged a “damage waiver fee” (i.e., we do not pay extra for vehicle insurance). See page 28, Section 1.12 of the State Term Contract.

Enterprise provides coverage for the vehicle, but does not cover personal contents in the vehicle. If an employee is injured, workers’ compensation is provided. Students will rely on their respective medical insurance.

I rented a vehicle from Enterprise through the State Term Contract. If a non-state employee is in the vehicle for the purpose of the trip (i.e., a donor or sponsor of the trip), how would coverage apply to them in the event of an accident?

The Enterprise contract does not provide medical or injury coverage for passengers.

If the University employee (driver) was at fault in an accident, Enterprise’s liability insurance—which is part of the rental—would typically respond to third-party claims, such as injuries to non-employee passengers. The employee’s personal auto insurance is not primary in this situation, assuming the rental is used strictly for authorized University business and in compliance with the State Term Contract.

If a non-employee passenger is injured in a car accident caused by the driver, Enterprise’s liability insurance would typically apply to pay for their injuries, up to the limits of the policy.

If the driver was not at fault, the non-employee passenger would likely need to seek coverage from the at-fault party’s insurance or their own health insurance.

Workers’ Compensation applies only to employees injured while performing official duties during travel. Students are not covered by Workers’ Compensation, but may use their own health insurance.