Insurance Company Not Required to Defend and Indemnify School Bus Transportation Company or School District in Case of Student-on-Student Physical/Sexual Assault Aboard School Bus.

In a case that could have a significant impact on school transportation companies and school districts that provide their own transportation services, the federal appeals court has held that physical and sexual assault allegations, predicated upon incidents between students that occur aboard the bus, are not events that are sufficiently related to the use of a bus as a “motor vehicle” to require defense and indemnification by an insurance company. This interpretation of Pennsylvania insurance law could leave transportation companies without coverage, depending upon the exclusionary language of their policies, as well as whether those companies are carrying general liability coverage in addition to merely auto coverage.

_{Case Law Alerts, 1st Quarter, January 2024 is prepared by Marshall Dennehey to provide information on recent developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. Copyright © 2024 Marshall Dennehey, all rights reserved. This article may not be reprinted without the express written permission of our firm.}