Who are permissive users?
Another area that’s a subject of dispute is that of permissive use, and who is considered to be an insured. There is still a general misunderstanding about coverage for entities that want to be additional insureds. Perhaps its genesis is with commercial general liability, where entities often can obtain broad coverage for their sole fault and on a primary basis. However, the situation is a little different under the business auto policy. Unless someone is a permissive user, the only other coverage available to entities, as insureds, is for their vicarious liability; that is, liability imputed to such entities because of the negligence of a permissive user. The BAP provision in question reads: “Anyone liable for the conduct of an ‘insured’ described above but only to the extent of that liability.” This provision appears in a separate category under the Who Is An Insured provision of the BAP to set it off from others who have broader coverage. An example of an insured in this category is
