Author Question: Which of the following situations would be covered under the liability section of the PAP? I. A ... (Read 50 times)

tuffie · **on:** Jul 11, 2018

Which of the following situations would be covered under the liability section of the PAP?

I. A mechanic is sued by a pedestrian who is injured when the mechanic has an accident while road testing the insured's auto.
II. The daughter of the named insured is sued after she has an accident when a new friend she just met at a campus hangout lets her drive his car.
A) I only
B) II only
C) both I and II
D) neither I nor II

Question 2

What is the purpose of the extended nonowned liability coverage endorsement to the PAP?

A) to provide liability coverage for an insured's employer when an insured uses his or her auto for business purposes
B) to provide liability coverage for an insured who occasionally operates a nonowned auto
C) to provide liability coverage for anyone who loans a covered auto to another driver
D) to provide liability coverage for an insured who operates a nonowned auto on a regular basis