What does the PAP's liability coverage include to assist with legal fees?

The liability coverage in a Personal Auto Policy (PAP) includes provisions for legal defense. This means that when an insured is involved in an accident for which they are liable, the insurance company provides legal defense to protect the policyholder against claims made by others. This coverage typically includes hiring an attorney and paying legal fees associated with defending against lawsuits arising from property damage or bodily injury claims.

Legal defense is a vital aspect of liability coverage because it ensures that the insured is not burdened with out-of-pocket expenses for legal representation when facing potential lawsuits related to auto accidents. In addition to covering the attorney's fees, the insurer may also cover other associated legal costs, thus providing a comprehensive risk management solution for the insured party.

The other options do not accurately encompass the legal protections afforded under liability coverage. Legal representation is often a term used interchangeably with defense but does not specifically denote the insurance company's obligation in terms of coverage. Insurance advocacy and legal grants do not apply within the context of liability coverage in a PAP.