What does a business auto policy typically include?

A business auto policy is designed to provide coverage for vehicles owned or used by a business for its operations, and it typically includes specific provisions related to the named insured. In this context, the named insured refers to the individual or entity specifically identified in the policy as having a direct interest in the insurance coverage provided.

When the named insured operates a covered auto, the policy extends its protections to that situation. This is crucial because it differentiates between coverage granted to the business entity or the individuals specified in the policy versus general coverage for everyone associated with the business. Having coverage tied to the named insured ensures that the business is adequately protected when authorized individuals utilize the company's vehicles for business purposes.

The other options do not reflect the standard inclusions or provisions of a business auto policy. For instance, coverage for all employees regardless of permissions is not typical, as coverage usually depends on whether the employee is authorized to operate the vehicle for business purposes. Furthermore, a business auto policy does not cover all vehicle types; it is specific to business-owned or leased vehicles and does not extend to personal vehicles unless specifically endorsed. Lastly, a business auto policy is not limited to non-commercial vehicles; instead, it provides protection for all types of vehicles used in conducting business, whether