header
May 2011
In This Issue:

Passenger Liability Presents Great Risks to Your Company


Traffic Violations May Predict Future Accidents


Place Emergency Warning Devices to Prevent Roadside Collisions


Customer Spotlight:
Marten Transport Receives CCJ's 2011 Innovator of the Year Award


Resource Library>>

Passenger Liability Presents Great Risks to Your Company

As summertime approaches, your drivers may request to bring passengers along with them. With nicer weather and kids out of school on summer vacation, many drivers like to take the opportunity to have their families on the road with them, combine long trips with vacation or take their children to visit distant relatives. Some motor carriers even encourage drivers to take passengers as a way to boost morale. However, you must keep in mind that passengers can greatly increase your liability risk.

Your company may want to consider putting a no passenger policy in writing and requiring all of your drivers to sign it. Violation of the policy could then result in immediate termination. If your company policy permits passengers, however, you must be familiar with and follow the Federal Motor Carrier Safety Regulation (FMCSR) that defines restrictions with this practice, as stated below.

§ 392.60 Unauthorized persons not to be transported.

(a) Unless specifically authorized in writing to do so by the motor carrier under whose authority the commercial motor vehicle is being operated, no driver shall transport any person or permit any person to be transported on any commercial motor vehicle other than a bus. When such authorization is issued, it shall state the name of the person to be transported, the points where the transportation is to begin and end, and the date upon which such authority expires. No written authorization, however, shall be necessary for the transportation of:

(1) Employees or other persons assigned to a
commercial motor vehicle by a motor carrier;
(2) Any person transported when aid is being rendered in case of an accident or other emergency;
(3) An attendant delegated to care for livestock.

(b)  This section shall not apply to the operation of commercial motor vehicles controlled and operated by any farmer and used in the transportation of agricultural commodities or products thereof from his/her farm or in the transportation of supplies to his/her farm.

In addition to following Federal Motor Carrier Safety Administration (FMCSA) guidelines, your company should define in its policy the time of year passengers are permitted, which drivers are allowed to take passengers and who they can take as a passenger. For passengers under the age of 18, signed authorization by both parents should be obtained, along with a copy of the child’s birth certificate. Passengers should also sign a written document for your company to keep on file, stating that they will not operate the vehicle under any circumstance.

According to the FMCSA’s interpretation of Part 392.60, written authorization must be maintained at the carrier’s place of business. The carrier may then choose to have the drivers to which the authorization pertains carry a copy as well. If drivers carry proof of passenger authorization with them, unnecessary delays can be averted in the event they are pulled over and the officer requests to see it.

If your company chooses to permit passengers, develop a release from liability and a hold-harmless agreement. These signed agreements protect your company from significant financial loss if passengers are injured while riding with one of your drivers. Even more protection is guaranteed by requiring passengers to purchase their own insurance coverage prior to the trip.

Before granting permission for drivers to take passengers, check with the pick-up and delivery locations on the requested route to ensure they will allow non-drivers or non-employees on their property. Many companies believe the presence of non-essential persons presents liability exposure and do not allow commercial vehicle passengers to enter the premises, even if they remain in the cab of the truck.

Contact your assigned Loss Prevention Specialist for guidance as you develop a passenger policy, design a liability release form or if you have any questions about passenger liability.

{ back }



Baldwin & Lyons, Inc.
1099 North Meridian Street, Suite 700 | Indianapolis, IN 46204
(800) 644-5501 | Fax: (317) 632-9444
www.baldwinandlyons.com