Personal Auto PolicyQuestion 387 of 474
An insured signs up to deliver restaurant orders for pay and causes $18,000 of damage while on a delivery run. Part A liability coverage:
a.Applies, because the insured owns the auto being driven
b.Is excluded, since the auto was carrying property for a fee
c.Is excluded only when the insured drives more than part time
d.Applies, because delivery driving is a personal errand
Explanation
Part A excludes liability while a vehicle is being used to carry persons or property for a fee, and a paid delivery run is exactly that, so the $18,000 falls back on the insured. A share-the-expense car pool is the recognized exception, because riders splitting costs are not paying a fee. Owning the vehicle does not defeat the exclusion, which looks at how the auto was being used.
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