What types of vehicles are covered under the Commercial Automobile Liability Insurance?

The correct answer encompasses Owned, Non-Owned, and Hired auto coverage, which are the primary categories covered under Commercial Automobile Liability Insurance. Each type serves a distinct purpose:

1. Owned vehicles refer to those that are owned by the business or entity and are used for business purposes. This includes vehicles that are registered in the name of the business.

2. Non-Owned vehicles include vehicles that are not owned by the business but are used for business operations, such as employee-owned cars that are driven for business tasks. This coverage is essential because it addresses liability for vehicles operated by employees during business activities, even though those vehicles are not owned by the business itself.

3. Hired vehicles are those that the business rents or leases for business purposes. This coverage protects against incidents involving vehicles that the business uses temporarily but does not own.

Incorporating all three types of coverage ensures comprehensive protection for businesses when it comes to vehicle-related liabilities. This aspect is crucial, as liabilities can arise from a variety of scenarios involving different vehicle types used in the course of conducting business. Other options restrict the coverage to limited types of vehicles, which would not provide the full breadth of protection required under typical commercial operations.