We have an insured who has a personal auto policy written on ISO form PP 00 01 04 86. Our insured was involved in an auto accident where she was clearly the at-fault party. We paid for the property damage to the other vehicle, as well as for the loss of use claim. We were also presented with a claim for veterinary charges since the other party's dog was badly injured in the accident. We denied payment to the other party for the dog as we feel there is no coverage for such expenses due to the following exclusion: "we do not provide liability coverage for any person for damage to property owned or being transported by that person." Now we are having second thoughts about the denial. What is your opinion?

New York Subscriber

We believe that your company has misinterpreted the exclusion on the auto policy and that there should be coverage for the injuries to the dog.