Earlier this month, a federal court of appeals issued an opinion in a truck accident case involving a dispute between the victim’s family and the insurance company of the at-fault driver. In the case, ACE Fire Underwriters v. Romero, the court was called upon to determine the meaning of an insurance policy, and it ultimately resolved the conflict in favor of the insurance company.
The Facts of the Case
The driver of a tractor-trailer left the farm at which he worked and immediately noticed that the trailer had become detached from the truck. He made a U-turn in hopes of quickly reconnecting the trailer, but before he could do so, he was struck by another motorist. That motorist died as a result of the collision, and his family, through the executor of the deceased’s estate (Romero), sought compensation for their loss from the truck driver’s insurance policy.
Fault was not contested. However, Romero argued that the insurance contract covered up to $1 million per vehicle involved, and because there were two vehicles involved – the truck and the trailer – the total payout should be $2 million. The insurance company’s position was that the total limit for the policy was $1 million, regardless of the number of vehicles involved.