Plaintiff filed a complaint against her homeowner’s insurance company for declaratory judgment and breach of contract after it denied coverage for the loss of her engagement ring diamond. Plaintiff had filed the claim after learning that the diamond in her ring had been replaced with a synthetic diamond. The insurance company denied coverage under the misappropriation exclusion of the policy, even though the parties stipulated that plaintiff was an innocent insured. The trial court entered judgment in favor of the plaintiff and defendant appealed. The appellate court affirmed, finding that the trial court did not err in holding that plaintiff was entitled to coverage based on the innocent insured doctrine. (FITZGERALD SMITH and PUCINSKI, concurring)
Illinois Appellate Court
Civil Court
Insurance Coverage