Ittner v. Mercury Ins. Co.
The declarations page of an automobile insurance policy indicated a 30 day maximum benefit for rental car coverage. The insurance policy itself provided that the rental car benefit would be paid from the day the loss was reported through the day the insurance company made a settlement offer. Plaintiff insureds were in an automobile accident and reported the loss to defendant insurer. The insurer made a settlement offer, which terminated the rental car benefits prior to the expiration of 30 days. Plaintiffs were therefore required to pay the remainder of their rental car expenses. Plaintiffs brought suit, alleging breach of contract and fraud. They argued that the declarations page of the policy led them to reasonably expect a full 30 days of rental car coverage and that the provision in the policy terminating benefits upon a settlement offer was ineffective as it was not conspicuous, plain and clear. Alternatively, they argued that the declarations page and the limiting provision in the policy together created an ambiguity, which must be resolved in favor of coverage. The trial court sustained the insurer's demurrer without leave to amend. Court conclude that the policy provision regarding the termination of rental car benefits is conspicuous, plain and clear. Court also conclude that there is no ambiguity. Court therefore affirm.
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