National American Ins. Co. v. Artisan and Truckers Casualty Co.

Dist. Ct. did not err in granting plaintiff’s motion for summary judgment in action seeking declaration that defendant-insurance company had duty to defend underlying lawsuit alleging, among other things, that insured was responsible for third-party’s injuries arising out of accident in which truck that was owned by insured struck third-party’s vehicle. While defendant argued that its policy did not cover instant accident, where insured’s truck was being driven on behalf of another entity that had placard on insured’s truck, and thus was excluded by policy’s Contingent Liability Endorsement, defendant had duty to defend insured in underlying lawsuit since underlying lawsuit had certain counts that specifically alleged that truck was being operated on behalf of named insured under plaintiff’s policy. Fact that underlying lawsuit also contained allegations against other entity that was not covered under policy did not require different result, since defendant had duty to defend lawsuit despite presence of proscribed theory of recovery. Moreover, defendant had duty to defend even if other entity may ultimately be found to liable in underlying lawsuit.