In BAP, the physical damage section provides coverage for which of the following?

In BAP, the physical damage section provides coverage for which of the following?

• A. Damage to or loss of an insured's covered auto.
• B. Bodily Injury to others.
• C. Medical payments for vehicle occupants.
• D. The insured's non-owned vehicles.

Answer: (A)

In a Business Auto Policy, the physical damage portion is about the insured’s own vehicles. It covers damage to or loss of the insured’s covered autos from perils like collisions and other risks (comprehensive coverage). It does not handle bodily injury to others—that’s the job of liability coverage—nor does it cover medical payments for vehicle occupants, which is a separate coverage. It also isn’t intended to protect non-owned vehicles; PD applies to the insured’s own autos. So the best answer is that physical damage covers damage to or loss of an insured’s covered auto.

In a Business Auto Policy, the physical damage portion is about the insured’s own vehicles. It covers damage to or loss of the insured’s covered autos from perils like collisions and other risks (comprehensive coverage). It does not handle bodily injury to others—that’s the job of liability coverage—nor does it cover medical payments for vehicle occupants, which is a separate coverage. It also isn’t intended to protect non-owned vehicles; PD applies to the insured’s own autos. So the best answer is that physical damage covers damage to or loss of an insured’s covered auto.