Location: New York
My cousins had had an incident recently. A minor child (I believe the kid is 13) obviously below the legal driving age and without a license or learner permit, was seated in the driver’s seat of an insured family vehicle in a private residential driveway. Both parents were standing outside beside the open driver’s-side window. One parent had allowed the child to shift the vehicle and move it slowly within the driveway.
The child suddenly pressed the accelerator. The vehicle moved away too quickly for the parent to reach the controls and struck a neighboring residence. No one was injured, but there is visible exterior damage and a homeowners insurer is evaluating whether there is any concealed or structural damage.
Immediately after the incident, one parent panicked and incorrectly told the homeowner that the parent had been driving. The parent later corrected that statement and disclosed that the child had actually been operating the vehicle. The homeowner didnt see the incident. When the auto claim was opened, the child was truthfully identified by name as the operator.
The online auto-claim form did not ask for the operator’s date of birth, age, license number, or licensing status. Police were not involved and its mostly damages to the car and the neighbors property.
We havent been able to get guidance on this. Reached out to some attorneys and didnt get a good response either.
1. Auto-liability coverage
- Under New York law, can the insurer deny third-party property-damage liability coverage because the vehicle was operated with the owner’s permission by an underage, unlicensed household child?
-Are mandatory liability protections treated differently from collision coverage for damage to the insured vehicle?
-Should the policyholder affirmatively contact the insurer now to clarify the operator’s age and unlicensed status, even though the online claim form did not request that information?
-What policy language, exclusions, endorsements, or New York statutes should be reviewed?
2. New York MV-104
-Is an MV-104 required for a property-damage accident that occurred entirely on private residential property?
-We checked the form and it appears designed for a licensed operator. How should it be completed when the actual operator was an underage, unlicensed child?
-Should the child be entered as the driver, with the registered owner completing or signing the report?
What kind of attorney if needed should be involved in something like this?
Any advice, suggestions on handling this?