Insured Contract and Other Insurance

February 4, 2010

Our insured has the current BAP and endorsement CA 20 54, employee hired autos; the covered auto symbol is symbol 1, any auto. If the insured or his employee rents an auto for business purposes and has an at-fault accident, is the BAP's liability coverage primary? We are looking at the definition of insured contract and the other insurance clause in the auto policy, especially the other insurance clause. Part of that clause states that “regardless of the provisions of paragraph (a), this coverage form's liability coverage is primary for any liability assumed under an insured contract”.