A federal judge has upheld an insurance company’s “auto business” exclusion in an underinsured motorist case in which the driver was using a rental car that he intended to deliver to a client the next day.
The decision came despite the fact that the defendant driver, Bucks County auto mechanic James E. Sweeney, was well short of the requisite amount of usage to be barred from coverage under the regular use exclusion also cited by his insurer, Prudential Property and Casualty Insurance Co. (owned by Liberty Mutual Insurance Co.) The court had previously ruled in favor of Sweeney because he was using the car in a manner intended by the owner.
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