Personal Auto PolicyQuestion 390 of 474
An employer supplies a car for the insured's regular use and it is not listed on the insured's personal auto policy. When the insured causes a $40,000 loss in it, Part A:
a.Applies, because the insured does not own that vehicle
b.Applies as excess over the employer's own auto coverage
c.Does not apply to a vehicle furnished for regular use
d.Does not apply only when the insured drives it to work
Explanation
Part A excludes any vehicle other than a covered auto that is owned by the insured or furnished or available for the insured's regular use, and a company car handed over for everyday driving is the classic example. A genuinely occasional borrowed car is different and is not caught. An extended non-owned coverage endorsement is the usual way to close this gap.
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- 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:
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