Morgan

I. Background

The facts of this case are undisputed. Morgan’s parents, John and Geri Morgan, purchased the Policy from American Family and are listed as “named insureds” on the declarations page. In the Policy, American Family agreed to “pay, up to our limit, compensatory damages for which an insured becomes legally liable for injury caused by an occurrence covered by this policy.” The declarations page states that the limit of liability under the Policy is one million dollars for “each occurrence.” Including the declarations page, the boilerplate “Insuring Agreement,” two endorsements, and a “notice of information practices,” the Policy is eleven pages long. The “Insuring Agreement” contains twenty-five alpha- betically ordered exclusions; the intra-insured suits exclusion is number ten.

While the Policy was in effect, John Morgan negligently caused a severe automobile accident. Morgan was a passenger 4658 MORGAN v. AMERICAN FAMILY MUTUAL in the automobile, along with Geri Morgan and John and Geri’s nephew, Garth Jones. Geri Morgan died as a result of the accident. John Morgan suffered physical and mental inju- ries, including brain damage, stroke, and paralysis.…