Personal and Commercial Automobile Insurance
The Personal Auto Policy
Six parts: A Liability (bodily injury and property damage to others), B Medical Payments, C Uninsured/Underinsured Motorists, D Damage to Your Auto (collision and other than collision), E Duties After an Accident, and F General Provisions. Limits are written either as split limits (25/50/10) or a single combined single limit. Insurance follows the vehicle, but the PAP also covers the named insured and family members driving a non-owned auto.
Wisconsin specifics
Wisconsin is a tort (at-fault) state with no personal injury protection. Required financial responsibility minimums are $25,000 per person and $50,000 per accident bodily injury and $10,000 property damage. Uninsured motorist coverage must be provided at limits equal to the liability limits unless the insured rejects it in writing, and Wisconsin permits stacking of UM limits across covered vehicles. Underinsured motorist coverage must be offered.
Key definitions and exclusions
Insured includes the named insured, resident spouse, and family members; a temporary substitute auto and a newly acquired auto get automatic coverage (private passenger autos usually for 14 days). Exclusions: intentional acts, racing, livery or public transportation use, vehicles furnished for regular use, and using a vehicle without a reasonable belief of permission.
Commercial auto
Business auto forms use numbered symbols to designate covered autos (any auto, owned autos, hired autos, non-owned autos). Garage and trucking risks need their own forms.
Traps: match the symbol to the vehicle, and never assume an employee's personal auto is covered for business use. Newly acquired autos require prompt reporting.
Worked example: An insured with 25/50/10 carries a $40,000 bodily injury judgment to one person; the policy pays $25,000 and the insured owes $15,000.