Under the business auto coverage form, would permanently attached equipment be included in a covered auto as equipment? The situation we have is a welder being permanently installed in the bed of a 2000 Ford F-350 pickup truck.

Indiana Subscriber

As for physical damage coverage, yes, this would be considered as auto equipment. There is no definition of equipment on the auto policy and since the welder is to be permanently attached, it would be considered as equipment belonging to the auto. It makes no difference if the equipment originally comes with the auto or is attached at a later date.

As for liability coverage, note that there is an exclusion under the liability section of the auto policy that would apply to such equipment. Exclusion 9 states that bodily injury or property damage arising out of the operation of any equipment listed in paragraphs 6b and 6c of the definition of mobile equipment is not covered by the auto policy. Paragraph 6c includes welding equipment, so while the vehicle itself is an auto for coverage purposes, if the welding equipment causes BI or PD to a third party, the auto policy will not apply to the liability claim. That would have to be covered under a CGL form.