Registered Insurance Brokers of Ontario (RIBO) Practice Exam

Coverage for a temporary substitute automobile is typically provided when the insured rents a vehicle while their own automobile is unavailable due to repair. This aligns with standard automobile insurance policies, which often include provisions that extend coverage to rental cars when the insured's regular vehicle is inoperable.

When the insured rents a vehicle for a temporary period due to their own car being repaired, the policy often considers this rental car as a "temporary substitute" and extends coverage to it. This situation is straightforward, as the insured is using the rental solely as a substitute for their regular vehicle during its downtime.

Situations like borrowing a friend's automobile, being on vacation, or using a company van generally do not fall under the same coverage provisions. Borrowing a friend's car may not typically be covered unless specified by the policy. Vacation scenarios usually do not apply because the context often lacks a direct relationship to the insured's regular vehicle being unavailable. Using a company van may also fall outside personal automobile insurance coverage, as it relates to business use rather than personal use.