Under what circumstance would Part D coverage be excluded if a covered auto is destroyed?

Part D of a Personal Auto Policy provides coverage for damage to a covered auto through various perils, including theft, accidents, and even natural disasters. However, when it comes to destruction resulting from governmental authority, coverage can be excluded. For instance, if a vehicle is destroyed as a result of being seized or impounded by law enforcement under lawful authority, the policy typically will not cover that loss.

This exclusion makes sense because the circumstances involve an action taken by the government, which is usually outside the control of the insured and may be governed by regulations and laws rather than typical insurable risks. In contrast, natural disasters, theft, and accidents are covered under Part D because they fall under the types of risks that insurance policies are designed to mitigate.