Difficulty: Medium

Average Score: 50%

Which one of the following would NOT be considered a covered auto under the Personal Auto policy?

Rationale

A car owned by the insured's employer that the insured drives while making sales calls.

Under a Personal Auto policy, covered autos are typically defined as vehicles owned by the insured or available for the insured's use. A car owned by the insured's employer does not fit this definition, as it is not owned by the insured and is used for business purposes rather than personal use.

A (A car borrowed by an insured for use while hers is being repaired) YOUR ANSWER

This option describes a situation where the insured borrows a vehicle temporarily, which is typically covered under the Personal Auto policy. The policy allows for borrowed vehicles as long as they are used for personal purposes, making this a covered auto.

C (A pickup truck used on a farm and described in the Declarations) YOUR ANSWER

Since this pickup truck is explicitly described in the Declarations section of the policy, it is considered a covered auto. The Personal Auto policy can cover vehicles used for farming, provided they are listed in the policy documents.

D (A trailer the insured attached to his sedan) YOUR ANSWER

Trailers are generally included under the Personal Auto policy as covered autos, provided they are designed for use with the vehicle. As long as the trailer is attached to the insured's sedan, it falls under the coverage provided by the policy.

Conclusion

The distinction between covered and non-covered autos in a Personal Auto policy is crucial for understanding liability and coverage limits. The employer-owned vehicle in option B is not covered because it does not belong to the insured and is used for business, while all other options represent vehicles that are either owned by the insured or adequately covered by the policy provisions. This ensures that insured individuals can confidently operate their vehicles within the scope of their coverage.

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