Elkins

This is a declaratory relief action to determine whether two automobile liability insurance policies issued by State Farm Mutual Automobile Insurance Co. (State Farm) covered the daughter of the named insured in connection with an automobile accident in which she was involved and which resulted in personal injury to one Sharon Elkins. State Farm appeals from an adverse judgment following a court trial.

The policies in question were issued to Lyle Burt as named insured. However, State Farm was notified that, his daughter Jayne Burt was a driver who should be covered by the policies and premiums were computed on that basis. The car driven by Jayne at the time of the accident did not belong to her father but was one which she had borrowed for a short period from one of her friends. Regarding nonowned automobiles, the policies insured Lyle Burt and all relatives who were residents of his household. The principal issue litigated below was whether at the time of the accident Jayne was a “resident of the household” of her father within the meaning of the policy.

The evidence introduced at trial consisted almost entirely of the deposition of Jayne Burt in which she described…