Is a Towed Vehicle Covered?
July 16, 2018
I have a coverage question related to a personal auto policy.
The insured was driving his personal vehicle listed on his policy. He was towing his friends vehicle with a car dolly attached to the insured's personal vehicle. While slowing down, the car dolly broke and the unoccupied towed vehicle struck the insured's personal vehicle causing minor damage to both vehicles.
The personal auto policy has an exclusion under Part A – Liability Coverage, Insuring Agreement.
WE DO NOT PROVIDE LIABILITY COVERAGE FOR PROPERTY DAMAGE OR BODILY INJURY:
2. to any property, owned by, rented to, in charge of or transported by a covered person;
Does this exclusion apply to this situation for the friends vehicle?
Utah Subscriber
You are correct in thinking that the damage would not be covered, since the insureds vehicle, and a vehicle the insured is towing, are the property that was damaged in the collision. The insured was transporting the auto, so there is no coverage for damage to the friend's vehicle. The friend needs to go through his own carrier for coverage. The damage to the insured's vehicle is covered under collision.