Which pollution loss would be covered by garage policy liability coverage?

The correct answer regarding which pollution loss would be covered by a garage policy liability coverage is based on the specific nature of coverage provided by such policies. Garage policies typically cover liability arising from the use of covered autos, which includes damage or pollution incidents that can be directly linked to those vehicles.

In this case, the pollution of a stream caused by gasoline leaking from a covered auto falls squarely within the scope of what a garage policy would address. This type of incident is considered an occurrence that arises from the operation of a covered auto and would thus be eligible for liability coverage under the policy. It aligns with the intent of providing protection against risks that arise from the daily operations of the business using vehicles.

The other options present scenarios that would not be covered under garage policy liability coverage. For example, pollution from a dump site or environmental damage from manufacturing processes does not directly relate to the operation or use of a covered auto. Likewise, the cost of government-ordered cleanup typically pertains to broader environmental liability which falls outside the standard coverage of a garage policy, as it is not linked to the immediate use of a vehicle. Therefore, the specifics of the pollution incident dictate the applicability of the coverage, and this particular scenario with the leaking gasoline meets the necessary criteria for