Normally, it is easy to know whether the person whose name is on the auto insurance policy has liability coverage when operating his or her insured car. But that analysis becomes more difficult when the driver is not a named insured. Nevada Law requires that a liability insurance policy must extend to any person that is operating the vehicle with the “express or implied permission of the named insured.” NRS 485.3091(1)(b). The “omnibus clause” in most insurance policies allow for this type of coverage. Even so, the issue of “implied permission” can be tricky.
The case of U.S. Fid. & Guar. Co. v. Fisher, 88 Nev. 155, 494 P.2d 549 (1972) deals with the issue of permissive use of a vehicle and the scope of coverage under the omnibus clause of an insurance policy. In that case, the insurance company issued an auto policy to Ms. Link. Ms. Link allowed Mr. Fisher to use her car from time to time to run errands.
Ms. Link was going on vacation. She asked Mr. Fisher to take her to the airport and then to park her car in his driveway while she was away. She told Mr. Fisher that he could move the car in case of an