Deductible not Applicable to Transportation Expenses

Under the standard business auto policy, transportation expenses of up to $20 per day is allowed for temporary transportation expense incurred due to the theft of a covered auto. Is the amount listed in this section of the BAP subject to the insured's policy deductible?

Indiana Subscriber

No. In the deductible clause in the physical damage section of the BAP, it says that the obligation to pay for, repair, or replace damaged or stolen property will be reduced by the applicable deductible shown in the declarations. Neither this clause nor the declarations show that any deductible is applied to transportation expenses.

The transportation clause does have a time deductible in that the coverage does not apply for the first 48 hours after the theft. But, there is no monetary deductible.

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