2607 Automobile Claim Handling Requirements for University Owned, Leased or Rented Vehicles

Document purpose

To provide a framework for the handling of loss or damage involving University owned, leased or rented vehicles.


July, 1990


May, 2023


May, 2023

Responsible Office

Risk Management & Insurance


Risk Management & Insurance


  1. The Office of Risk Management & Insurance is responsible for adjusting claims and reimbursing departments for loss of, or damage to, University owned, leased or rented vehicles and for seeking compensation from responsible third parties when appropriate.

  2. All insurance claims must be filed with the Office of Risk Management & Insurance.  

  3. Reimbursement for loss or damage will be handled as follows:

    1. University owned or leased vehicles: 
      1. The affected department is responsible for submitting an estimate of repair to the Office of Risk Management & Insurance.  The Office of Risk Management & Insurance may at its discretion, make an independent evaluation of the damage.
      2. Reimbursement is subject to a departmental deductible of $1,000.00 per occurrence.  If the driver has not successfully completed the applicable Drivers’ Safety courses, the department will be responsible for the total claim cost. 
    2. Rental vehicles:
      1. If renting a vehicle on University sponsored travel, the traveler is required to rent with the University’s preferred vendor, Enterprise/National.  See travel and entertainment policy 2357 for details. 
      2. If Enterprise/National cannot accommodate the rental request, the traveler may rent from another rental agency.  The traveler must purchase the maximum coverage of insurance required by the rental agency to include the loss damage waiver (LDW/CDW), supplemental liability coverage, and personal accident insurance (PAI).  See Travel and Entertainment policy 2357 for details.
      3. For more information refer to the Penn Travel Rental Car section, https://cms.business-services.upenn.edu/penntravel/preferred-suppliers/ground-transportation/rental-car.html
    3. Use of Personal Vehicle
      1. The owner of the vehicle must carry the state mandated minimum limits.
      2. In the event of a claim, the vehicle owner’s policy will serve as primary insurance and the University will serve as excess insurance.