(DOWNLOAD) "Foremost Insurance Company v. Allstate" by Supreme Court of Michigan # Book PDF Kindle ePub Free
eBook details
- Title: Foremost Insurance Company v. Allstate
- Author : Supreme Court of Michigan
- Release Date : January 15, 1992
- Genre: Law,Books,Professional & Technical,
- Pages : * pages
- Size : 73 KB
Description
We granted leave to appeal to resolve a conflict in the Court of Appeals 1 over whether a lienholder may recover under
a loss payable clause where the insured breached an insurance contract by intentionally destroying his property and misrepresenting
the loss to his insurer. 2 In cases involving nearly identical loss payable clauses, two Court of Appeals panels agreed
that a standard loss payable clause operates as a separate contract of insurance between the lienholder and the insurer, yet
differed over the coverage conferred upon the lienholder. 3 The Boyd Court concluded that a lienholder's right of recovery
is no greater than that of the insured, and because the insured's intentional act of destroying her automobile was excluded
under the terms of the policy, the lienholder could not recover under the loss payable clause when the insured intentionally
destroyed her vehicle. 4 However, in the instant case, the Foremost panel concluded that because the lienholder has a separate
contract with the insurer, it is entitled to recovery under the loss payable clause even when the insured was excluded from
recovering under the same policy. 5 We are persuaded that the Foremost panel correctly concluded that the insured's acts
of arson do not preclude the lienholder's recovery from the insurer, and now affirm. I