Automobile Liability and Physical Damage Claims

1

• Automobile Liability and Physical Damage Claims
• by
• Walter Lockhart

2

• Walter Lockhart, Claims Supervisor
  Transportation /Road Hazards Units
• Phone [phone]
• Fax [phone]
• Email Walter.Lockhart_at_la.gov

3
ORMS MAILING ADDRESS and WEBSITE

• Office of Risk Management
• P. O. Box 91106
• Baton Rouge, LA 70821-9106
• Doa.louisiana.gov/orm/

4
Transportation claims

• Discussing automobile claims today

5
Automobile liability and physical damage coverage

• State owned licensed vehicles used for State
  business
• Licensed vehicles rented and/or leased-used for
  State business

6
Proof of insurance for State vehicles

• Websitehttp//doa.louisiana.gov/orm
• Letter from J. S. Thompson, Jr.
• Place copy of letter in State vehicle
• See attachment 1

7
Personal vehicles used on State business

• See notice 98-2
• Reimbursement of the collision deductible
• up to 1000.00 or
• If auto has no collision deductible, maximum of
  1000.00 per collision loss
• Collision, not comprehensive claims
• If other party/carrier pays your damages no
  payment from ORM
• See attachment 2a,2b

8
Personal vehicles used on State business

• Registered owners primary insurance (liability
  and physical damage) follows vehicle in State of
  Louisiana
• States insurance is excess on liability coverage
  only if employee is within scope and permission.

9
What do you do after an accident?

• Get names, addresses and phone numbers of
  parties involved in accident
• Agency will complete DA 2041 form

10
DA 2041 form for reporting Auto accidents to ORM

• http//doa.louisiana.gov/orm/formsCR.htm
• Mandatory that you complete the following lines
  1-15, 18-25, 30-37,39-42 and 44-55
• Fax/email form to me within 48 hours
• See attachment 3,3a,3b,3c

11
DA 2041 form for reporting auto accidents to ORM

• All claims on State owned licensed vehicles
  and/or rented /leased vehicles on State business
• Employee reimbursement collision claims. (write
  PERSONAL) in place of State vehicle

12
NO PAY,NO PLAY(law effective on 9/6/1998)

• See notice 99-6 for further details
• No State agency and/or employee authorized to
  make any statements regarding payment of damages
  and/or medicals
• See attachment 4

13
PHYSICAL DAMAGE FIRST PARTY CLAIMS (Part I)

• Claims on State owned licensed vehicles and/or a
  rented/leased vehicle on State business
• Claim assigned to adjuster

14
PHYSICAL DAMAGE FIRST PARTY CLAIMS (PART II)

• Adjuster will review the DA 2041
• If damages minor, adjuster will send letter
  asking agency if it wishes to make claim
• Agency sends two repair estimates and copy of
  police report to adjuster
• See attachment 5a,5b

15
PHYSICAL DAMAGE FIRST PARTY CLAIMS (PART III)

• If vehicle undrivable, ORM will hire appraiser
  to inspect vehicle. If repairable, adjuster will
  send copy (appraisal) to agency. If not,
  adjuster will advise agency vehicle deemed total
  loss and prepare paper work for agency signature.

16
PHYSICAL DAMAGE SUPPLEMENTAL DAMAGES

• If supplemental damages after vehicle
  disassembled, repairer will contact ORM and/or
  appraiser. Additional damages must be agreed
  upon before being paid by ORM. All damages must
  be from accident. Old damages will be deducted.

17
PHYSICAL DAMAGE PAYMENT/SETTLEMENT

• If State vehicle repairable, ORM will receive
  final invoice and check for correctness and pay
  claim less deductible.

18
AUTOMOBILE PHYSICAL DAMAGE TOTAL LOSS

• See attached total loss letter for State vehicles
  deemed total loss
• Agency will send needed paperwork directly to
  LPAA on total losses
• ORM will subtract high salvage bid and agency
  will receive salvage proceeds from LPAA after
  sale of salvage
• See attachment 6a

19
EXAMPLE

• Proof of Loss form sent to agencies
• See attachment 6b

20
SUBROGATION

• If adverse party at fault, we will turn this
  matter over to Subrogation Unit for recovery.
  Imperative that agencies cooperate by sending
  claims and having vehicles repaired in timely
  manner. Prescription period one year from date of
  loss.

21
AUTOMOBILES LIABILITY THIRD PARTY CLAIMS

• Agency will forward completed DA2041 form to ORM
  by fax or email
• Supervisor will assign claim to adjuster
• Adjuster will verify if claimant has liability
  insurance at time of accident
• Adjuster will send out form letter to claimant(s)
• If any injuries involved, ORM will assign claim
  to independent adjuster

22
ROCK PECK CLAIMS

• Attached are questionnaires sent out by ORM on
  claims to the agencies
• Form T-1 for State vehicles (not sweepers)
• See attachment 7
• Form T-2 for State sweepers only
• See attachment 8

23
WET MARINE AND AIRCRAFT CLAIMS

• Questions on Marine and/or aircraft claims,
  call me.

24
LAWSUITS

• If agency/employee receives lawsuit on
  automobile accident, forward to ORM ASAP.

25
AUTOMOBILE LIABILITY THIRD PARTY CLAIMS

• ORM adjuster will review claim and decide
  whether there is liability on our driver. If so,
  damages will be paid based on percentage of
  liability. If no liability, claim will be denied.

26
DEDUCTIBLES EFFECTIVE ON 11/1/2002

• Deductibles are as follows
• Collision-1000.00
• Comprehensive-1000.00 (includes all windshield
  claims)
• See notice 2003-2 for further details
• See attachment 9

27
REDUCTION OF AUTOMOBILE LIABILITY LIMIT

• Employee not on State business at time of
  accident
• Limits 10/20/10
• See notice 2002-1
• See attachment 10

28
RENTED AND/OR COURTESY VEHICLES

• Rented Vehicles
• Courtesy Vehicles
• See notice 2001-2
• See attachment 11

29
INSPECTION OF RENTAL VEHICLES

• See notice 97-2
• Need to inspect rental vehicles before and after
  using for damages
• Show rental person damages to vehicles so he/she
  can make notation on rental agreement before
  leaving lot
• See attachment 12

30
TOWING OF STATE VEHICLES

• See notice 97-1
• Avoid having State vehicle towed to a wrecker
  yard
• If vehicle is towed to wrecker yard, give State
  vehicle location on DA 2041, address and phone
  number of wrecker yard
• See attachment 13

31
NOTE

• Work hours are 630 a.m. to 500 p.m. Monday
  through Thursday
• Email DA 2041 forms/Fleet Messages to the new
  addressORM-DA2041_at_la.gov