Insurance for cars owned by the factory

The personal liability of officers and employees for the operation of automobiles owned by the factory, or owned by persons other than officers and employees or members of their families and left in charge of the factory, may be covered in accordance with the premiums provided in the Rate Sheets for “Additional Assured—Employees and Others” in connection with insurance for garages. Uninsured motorists.

Automobiles owned by officers, employees and others shall not be included in the policy covering the factory. Such automobiles must be separately insured at full Manual rates.

Individual purchasers who go to the auto mobile factory or branch after their own automobiles and drive them away may be covered for Public Liability, Property Damage and Collision insurance in the regular manner, by having the policy commence at the time the automobiles are received at the factory or branch.
The dealer or garage that already carries Public Liability and Property Damage insurance on the “payroll” basis is covered for all incidental “drive-away” hazards; it being understood, of course, that the salaries of all chauffeurs conducting the “drive-aways” are included in the payroll policy.

The special contractor, whose business consists in driving away automobiles for dealers or for factories, may be insured for Public Liability and Property Damage either on the Specified Car or Named Driver basis (but not Payroll basis) at the ” Y” premiums for Private Passenger Cars and at the Medium Class 4 premiums for Commercial Cars prevailing in the highest rated territory through which the automobiles will be driven away. Policies written for a short term are subject to the regular short rate charges.

Where “drive-aways” are conducted by the automobile manufacturer, Public Liability and Property Damage coverage for same are provided for in the rating procedure for factory testing risks. See “Automobile Factories” Rule.


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