How does the business auto policy (BAP) respond to a liability claim filed by Mrs. Emerson after she deliberately drives into a couple?

The business auto policy typically includes an intentional injury exclusion, which means that if an insured party causes harm deliberately, the policy will not provide coverage for claims resulting from that action. In the scenario presented, Mrs. Emerson deliberately drove into a couple, which clearly indicates an intentional act of harm.

Given this context, the correct response is that the policy denies payment based on the intentional injury exclusion. This provision is fundamental in insurance policies, as insurers do not pay for damages resulting from intentional or criminal actions, reflecting the principle that insurance should not cover unlawful behavior. This helps insurers maintain their integrity and prevent coverage for acts that are willfully harmful.