Mission Insurance v. Hartford Accident & Indemnity Co.

J.— Hartford Accident and Indemnity Company (Hartford) and Mission Insurance Company (Mission) both issued automobile liability policies covering the same leased trailer. Mission’s insured, Redwood Construction Company (Redwood), leased the trailer to Hawkey Transportation Company (Hawkey). Hawkey was insured by Hartford. The trailer was involved in an accident with a motorcycle in which the motorcycle driver was killed. Both insurance companies contributed to the settlement of the wrongful death action while reserving their rights to contest which insurance policy was primary and which policy provided excess coverage. In the declaratory relief action, the trial court held that the conclusive presumption of Insurance Code section 11580.9, subdivision (b) applies, and determined that Hartford was the primary insurer and that Mission was excess only. Hartford appeals that decision and contends (1) section 11580.9, subdivision (b) does not apply as Mission’s insured was not “engaged in the business” of leasing trailers; (2) since the trailer was “described and rated” in the Mission policy, it is presumed to be primary pursuant to section 11580.9, subdivision (d); (3) the…