12.1 Business Auto Coverage Form and Covered Auto Symbols
Key Takeaways
- The Business Auto Coverage Form (CA 00 01) uses nine covered-auto designation symbols instead of listing each vehicle by VIN.
- Symbol 1 (Any Auto) is the only symbol that automatically includes owned, hired, and non-owned autos.
- Liability and physical damage can carry different symbols, so liability is often written broader (e.g., Symbol 1 liability, Symbol 7 physical damage).
- Symbols 1 and 2 cover newly acquired autos automatically; Symbols 3, 4, and 7 give 30 days with a reporting requirement.
- The owner of a hired/borrowed auto and an employee driving their own car are NOT insureds; employee-owned business use needs Symbol 9.
What the Business Auto Coverage Form Is
The Business Auto Coverage Form, current ISO edition CA 00 01 11 20, is the standard contract that insures cars, trucks, and vans owned, hired, or used by a business. Combined with the Common Policy Declarations, Common Policy Conditions (IL 00 17), and Business Auto Declarations (CA DS 03), it forms the Business Auto Policy (BAP) — the commercial counterpart to the Personal Auto Policy (PAP).
The PAP lists each vehicle by VIN. A business, by contrast, may own zero, five, or five hundred autos and also rent or borrow others, so the BAP does not list autos individually. Instead it describes categories of autos using covered-auto designation symbols, and the symbols entered on the declarations control exactly which autos each coverage applies to.
How the Form Is Built
Coverage is modular — a coverage line is active only when a symbol AND a limit appear on the declarations for that line.
| Section | Function |
|---|---|
| Section I – Covered Autos | Defines the nine symbols and the 30-day newly-acquired-auto rule |
| Section II – Covered Autos Liability | Third-party bodily injury (BI) and property damage (PD) |
| Section III – Physical Damage | Comprehensive, collision, specified causes of loss |
| Section IV – Conditions | Loss conditions and general conditions (duties, two-or-more forms, transfer of rights) |
| Section V – Definitions | "Accident," "auto," "bodily injury," "property damage," "loss," "mobile equipment" |
Because each coverage line carries its own symbol, liability is frequently written far broader than physical damage — a fleet may show Symbol 1 for liability but Symbol 7 (scheduled autos) for collision.
The Nine Covered-Auto Designation Symbols
| Symbol | Category | Plain Meaning |
|---|---|---|
| 1 | Any Auto | All autos — owned, hired, AND non-owned (broadest) |
| 2 | Owned Autos Only | Every auto the insured owns, any type |
| 3 | Owned Private Passenger Only | Owned cars/SUVs, not trucks |
| 4 | Owned, Other Than Private Passenger | Owned trucks, vans, specialty rigs |
| 5 | Owned Autos Subject to No-Fault | Owned autos in PIP/no-fault states |
| 6 | Owned Autos Subject to Compulsory UM | Owned autos where UM is mandatory |
| 7 | Specifically Described Autos | ONLY vehicles listed on the schedule |
| 8 | Hired Autos Only | Rented, leased, borrowed (not owned) |
| 9 | Non-Owned Autos Only | Employee/partner personal autos used for business |
Critical trap: Symbol 1 is the only symbol that automatically pulls in hired AND non-owned exposure. A risk written Symbol 2 has a gap for rentals (needs 8) and for employee-owned cars (needs 9).
The Newly-Acquired-Auto (30-Day) Rule
The symbol you choose also controls how a freshly purchased vehicle is picked up:
- Symbols 1 or 2 (any auto / all owned autos): a newly acquired auto is automatically covered with no notice required, because the symbol already describes "all" owned autos.
- Symbols 3 or 4 (a narrower owned class): a newly acquired auto is covered for 30 days, but only if the insurer does not already insure all the insured's autos in that class — and the insured must report the acquisition within 30 days to keep coverage.
- Symbol 7 (scheduled autos): a replacement auto gets automatic coverage, and an additional auto gets 30 days only if the insurer covers all the insured's autos already, then notice within 30 days.
Exam point: if a question shows Symbol 7 and the insured adds (not replaces) a truck without notifying the insurer, the new truck is not covered after the grace period.
Who Is an Insured
The liability "Who Is An Insured" provision has three tiers:
- The named insured — for ANY covered auto.
- Permissive users — anyone using a covered auto the named insured owns, hires, or borrows with permission.
- Anyone legally responsible for an insured's conduct, but only to the extent of that liability (e.g., an employer vicariously liable for an employee's covered driving).
Key carve-outs: the owner of a hired or borrowed auto is NOT an insured (a rental company is not insured under your BAP), and an employee is not an insured for liability while driving the employee's OWN auto. The employer relies on Symbol 9 to protect its own vicarious liability; the employee's personal auto policy is primary.
A landscaping company's BAP shows Symbol 2 for liability. An employee uses her own personal car to pick up supplies and causes an at-fault accident. How does the BAP respond to the employer's vicarious liability?
A contractor wants the broadest possible auto liability coverage — owned, rented, and employee-owned autos all in one symbol. Which covered-auto symbol should appear for liability?
Reading the Symbols on a Real Schedule
The covered-auto symbols entered next to each coverage on the Business Auto declarations decide which autos that coverage protects. Memorize the nine:
| Symbol | Covered autos |
|---|---|
| 1 | Any auto (broadest; used for liability) |
| 2 | All owned autos |
| 3 | Owned private passenger autos only |
| 4 | Owned autos other than private passenger |
| 5 | Owned autos requiring no-fault in the state |
| 6 | Owned autos subject to compulsory UM |
| 7 | Specifically described autos (those on the schedule) |
| 8 | Hired autos only |
| 9 | Non-owned autos only |
Exam strategy: Symbol 1 (any auto) gives the broadest liability protection — it covers owned, hired, and non-owned autos, and automatically picks up newly acquired autos with no reporting needed. Symbol 7 (described autos) is narrow and the typical choice for physical damage, so a newly acquired auto is covered only under the 30-day rule if the insured already carries that coverage on at least one auto and reports the new one within 30 days. A common question gives Symbol 7 for physical damage and Symbol 1 for liability and asks whether a just-purchased truck is covered for collision — the answer turns on the 30-day reporting rule.