Below are the responses provided.  

The policy wording is quite clear – if the vehicle meets the definition of “auto” within the policy, then that auto is a covered auto – period. There is no other limitation or qualification that applies to Symbol 1 – coverage applies to “any auto.” The policy wording does not require reporting, etc., as is often suggested.  

Of course, with any covered auto, there may be questions as to whether the BI or PD arose out of the ownership, operations, maintenance or use of a covered “auto,” but that is an entirely different question.  

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The coverage interpretation is correct. “Any auto” means just that… any auto. 

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Your interpretation is correct, with the caution that the insured can void coverage with material misrepresentations. If a ratable vehicle is not listed due to system glitches or human error, the carrier may pay the loss but re-rate the policy appropriately. If the insured withholds information or does not list cars as required by the policy, coverage can be denied.  

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Any Auto is Any Auto, it doesn't have to be listed, but the carrier has the right to audit and charge for the exposure they have. As an agent, you have a responsibility to schedule the units you know about so that the carrier fairly and you honor your contract.  

Not sure I get the second question, if there is something unusual/crazy your insured is doing that might be a concern, as an agent for the carrier, what you know the carrier should know, you must let the carrier know of issues of concern. If you want a better understanding of your state's auto laws, check your state Department of Motor vehicle website.  

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BAP Symbol 1 does cover "any" auto, which would include owned, non-owned, hired auto (indeed any auto), as the description implies. Of course, the coverage is subject to policy exclusions, such as the named insured not being able to use any auto to run over a competitor intentionally because of the intentional injury exclusion. Because it is so broad, Symbol 1 is only used for the auto liability coverage, not for any other coverage under the BAP. You are right on target in stating that Symbol 1 covers the mistakes of not listing all autos to be insured, as required by Symbol 7, or only covering specific types of vehicles such as Symbol 3, 4, 5, or 6.  I don't know that there are any state laws or regulations limiting how Symbol 1 is used. It is the best liability symbol to get for your insured under the BAP and is thus highly recommended. But because many carriers won't offer it (they deem it too broad for their liking), the insured may not be able to get Symbol 1, or it may take more premium. 

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Symbol 1 provides liability coverage for any auto – owned, rented, hired, borrowed. It even provides coverage for unknown liability situations that arise. Autos acquired during the policy period are automatically covered, whether reported or not. It may provide coverage extending beyond the policy period. All autos owned or leased at policy inception should be listed, but technically autos would be covered even if not listed. Regarding how the vehicle is being used, that depends on the auto policy. The ISO auto policy doesn’t require the auto be used for business purposes; some other policies might. We can’t respond to state laws or insurance department regulations as they vary from state to state.  

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Any means any. There is no restriction in Any. 

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It's common knowledge that Covered Auto Symbol 1 is the gold standard, but why? The CPCU Journal published an excellent article on the difference between Sym. 1 on one hand and the other symbols (owned, hired, and non-owned) on the other hand. There's a difference and anybody who writes auto insurance should know exactly what it is and where the gaps are. 
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The problem in 2024 is that there is not necessarily an industry standard. There are ISO, MSO, AAIS that write standard forms for industry use. There are the carrier's own forms and the former listed with "contains" in it. Meaning the carrier had the policy writer change the form to suit what they want to offer for coverage. I recently saw a form with Other than Collision as named peril coverage and have never in my many years seen that! Check each carrier's forms the agency represents to see what the form states. 

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Your interpretation of Symbol #1 is incorrect. Any auto is still subject to insurance policy terms and conditions. It is not intended to cover errors or omissions made by an insured or their agent. 

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“Any Auto” means any auto. Liability coverage (not physical damage) is provided to insureds to respond to claims made against those insureds that might arise from any auto. That includes all owned autos, all non-owned autos that might be used by the insured entity or person, as well as any other auto that has no relationship with the insured entity or person at all, but if a claim were to arise from something that happened with that auto, the policy will respond to defend or indemnify an insured. 

That is why coverage under Symbol 1 is broader than a combination of Symbols 1, 8, and 9. 

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You must list all vehicles if they are owned / licensed in your state. Is your client is attempting to skirt the rules to avoid the premium expense? Should there be an accident and the carrier discovers it was owned and not insured properly may be open to an investigation of fraud against the policyholder and you the agent for facilitating the action. 

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This has been a highly contested issue for many years. While it is clear an acquired “auto” is automatically covered during the policy term, I am of the opinion that Symbol 1 (Any Auto) also provides coverage whether an  “auto” has been left off the policy even if it was acquired prior to the renewal of the auto policy. In my 40+ years as an agent, this has happened a few times, and every time the carrier paid the claim. 

The carrier has the right to audit the policy, although often they do not, which should identify every owned auto. I think a problem could arise if the insured leaves off an “auto” when audited, or when asked to provide the carrier with an auto schedule when a new policy is issued or upon renewal. In that case if the insured failed to list an owned “auto,” I believe it would be up to the carrier to prove it was left off intentionally, and thus misrepresentation leading to legitimately deny the claim.  

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See this past response from VU faculty on symbol 1 and potential system glitches, human errors, or other oversights.  Although this response is somewhat dated, the issues are the same today.  

One additional issue is electronic reporting to the state department of motor vehicles. The insurance company can only report coverage on a vehicle VIN that they know about (if it is scheduled on the policy.) In CO, I believe every insurer is required to report on a weekly basis. If your insured has a vehicle that does not match up to an insurance policy in this reporting process, there can receive fines, registration or license renewal issues, problems with authorities if the vehicle is pulled over or inspected, etc.  

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Symbol 1 means any auto regardless of the named insured's relationship to the auto. Where there could be an issue is if the insured has violated the concealment, misrepresentation or fraud condition in the policy - for example, the insured reported 50 autos at inception, but actually has 100. Whether an insurer would consider an oversight to be a violation of that condition would likely depend upon the extent of the oversight. Given that there is no broader symbol, there isn't much more to be done to protect the insured other than to stress the importance of accurately reporting information at the time of application or submission of renewal information. I don't understand the question about industry standards but am not aware of any laws or regulations governing how any auto is used. Your best source for that answer would be the state insurance department. 

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While Symbol 1 means “any auto,” bear in mind that if the insurer suspects that the insured attempted to elude paying for coverage, the carrier may undertake a full coverage investigation and the carrier may decide to deny the claim. Further, we can’t opine on state laws of 50 states, so be sure to check with your department of insurance for an answer to that portion of your question.  

 Originally Published: June 14, 2024