Originally Posted by InsCommentary
Under the ISO PAP, your employer is also an insured for vicarious liability:
B. "Insured" as used in this Part means:
3. For "your covered auto", any person or organization but only with respect to legal responsibility for acts or omissions of a person for whom coverage is afforded under this Part.
It's more likely that the employer has a Commercial Auto Policy (CA 00 01 or its equivalent) that defines "an insured" as:
Anyone else while using with your permission
a covered "auto" you own, hire or borrow
(2) Your "employee" if the covered "auto" is
owned by that "employee" or a member
of his or her household.
Which eliminates coverage for "vicarious liability" if the employee uses his own vehicle.
And, like every P&C policy, there is this (or its equivalent):
Concealment, Misrepresentation Or Fraud
This Coverage Form is void in any case of
fraud by you at any time as it relates to this
Coverage Form. It is also void if you or any
other "insured", at any time, intentionally conceal
or misrepresent a material fact concerning:
a. This Coverage Form;
b. The covered "auto";
c. Your interest in the covered "auto"; or
d. A claim under this Coverage Form.
If the employer conceals the fact that the disqualified employee is continuing to drive it would be an expensive mistake.