North American Specialty Ins. Co. v. Sutton CA2/7

INTRODUCTION

After a small plane crash resulted in the deaths of the two passengers on board, a dispute arose between the personal representatives of the estates of these decedents (the decedents’ parents) and the insurance company that had issued the policy in effect at the time. According to the insurer, the policy provided liability coverage for claims arising out of the accident—subject to a limit of $100,000 per passenger and an aggregate liability limit of $1 million. The claimants contended the $100,000 per passenger limit did not apply to their wrongful death claims which were subject only to the liability limit of $1 million. After stipulating to certain facts, the insurer and the personal representatives of the estates filed cross-motions for summary judgment based on their conflicting constructions of the policy language. The trial court agreed with the insurer’s interpretation of the policy and entered judgment in its favor. The personal representatives appeal. We affirm.

FACTUAL AND PROCEDURAL BACKGROUND

1. The Aircraft Insurance Policy. North American Specialty Insurance Company (North American) issued an aircraft policy to Dale Smet in 2010. On the Declarations…