Does Kentucky Auto Insurance Cover an Accident That Occurs While Working on a Vehicle?

In Kentucky, drivers have the option of purchasing “no-fault” insurance coverage under the Kentucky Motor Vehicle Reparations Act (MVRA). Under the MVRA, your auto insurance company must pay you certain medical and lost income benefits in the event of a car accident without regard to who was at fault for the crash. In that sense, MVRA is different from traditional auto insurance, which covers situations where you are liable if you cause an accident that causes personal injury or property damage.

One thing to note about Kentucky no-fault insurance is that it only covers injuries that arise out of the “use of a motor vehicle.” The Kentucky Supreme Court clarified in a 1982 decision that “use” in this context means the insured was actually driving the vehicle when the accident occurred. The Court held that a driver was not entitled to MVRA benefits when he was injured while trying to repair his own car when it was parked in his driveway.

Insurer Liable for “Runaway” Fire Engine Crash

That said, the limits of MVRA coverage do not necessarily apply to other forms of auto insurance. Just recently, the Kentucky Court of Appeals held the Supreme Court’s 1982 decision did not bar a local fire department from receiving insurance coverage after a firetruck under its care got away and crashed into a building. In this case, the Court of Appeals said that “use” of a covered vehicle broadly covered the firefighter’s activities when the accident occurred.

Here is a brief explanation of what happened. Pulaski County has an agreement with the City of Somerset to share responsibility for fire protection services. As part of that agreement, the County loaned the Somerset Fire Department one of its fire trucks. One day, a group of Somerset firefighters were troubleshooting a problem with the fire truck’s power steering while the vehicle was parked at their firehouse. During this process, a piece of equipment apparently fell on the fire truck’s parking brake switch, releasing the parking brake and causing the unmanned truck to roll out of the fire station and into a neighboring commercial building.

Thankfully, nobody was hurt. But the fire truck was a total loss and the building’s owner and commercial tenant sustained significant property damage. Pulaski County had an insurance policy on the fire truck through the Kentucky Association of Counties All Lines Fund (KALF), which paid out over $350,000 to resolve all of these claims. KALF then sued the City of Somerset to recover the amounts it paid out, alleging that the City was not an “insured” person under the policy.

KALF pointed to the Supreme Court’s 1982 decision in support of its belief that the Somerset firefighters were not “using” the truck when the accident occurred as they were not actually driving the vehicle. The Court of Appeals rejected that argument. The 1982 decision only applied to MVRA coverage, which was not liability insurance like the commercial policy issued by KALF to Pulaski County. This policy, which KALF drafted, did not define the term “using,” so the appellate court applied the ordinary meaning of the word and held that firefighters were clearly using the truck–i.e., they operated and interacted with the vehicle while conducting repairs–and thus their actions were covered.

Contact a Madisonville Truck Accident Lawyer

If you are injured, or suffer property damage, in an accident caused by a commercial vehicle it is important to seek legal advice from a qualified Madisonville truck accident lawyer. Contact Whitfield Crosby & Flynn today to schedule a free consultation. We have offices in Madisonville, Kentucky; Chattanooga, Tennessee; and Indianapolis, Indiana.

Source:

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