In a Personal Auto Policy, who is classified as a "family member"?

In a Personal Auto Policy, the term "family member" specifically refers to the named insured and any relatives who reside in the same household. This classification is crucial because it determines who is covered under the policy for various types of claims, such as liability or damage to vehicles.

By including only those relatives who live in the same household with the named insured, the policy clearly delineates the scope of coverage, ensuring that it is limited to those with a more immediate and ongoing relationship to the insured. This distinction helps to mitigate potential risks associated with covering individuals who may not share a close, familial connection or who do not live in the same residence, thus protecting the insurer's interests.

Other choices emphasize individuals or relationships that do not fit the definition provided in the policy. For example, individuals living outside the household or significant others may not qualify as family members under the terms of a standard Personal Auto Policy. Additionally, drivers granted permission to use the insured vehicle are not classified as family members unless they also meet the criteria of living in the household with the named insured. Thus, the correct answer highlights the specific relationship defined within the context of the policy, which is essential for accurately interpreting coverage.