Reagen's Vacuum Truck Service, Inc. v. Beaver Insurance

Reagen’s Vacuum Truck Service, Inc., Bennie Reagen and Dennis Reynolds (Reagen’s) appeal from a judgment following entry of summary judgment in favor of Beaver Insurance Company (Beaver). Reagen’s, in its first amended complaint, had alleged causes of action against Beaver for breach of duty of good faith and fair dealing, breach of *381 contract, breach of fiduciary duties, fraud, and negligence stemming from the manner in which Beaver allegedly handled defense of a claim against Reagen’s by an injured employee. Beaver moved for summary judgment against Reagen’s on grounds that there was no potential for coverage under the terms of Reagen’s insurance policy with Beaver and that Reagen’s had suffered no compensable damage because Harbor Insurance, in a settlement with Reagen’s, agreed to pay all expenses relating to the defense of the underlying action. The trial court granted summary judgment based upon the policy’s exclusion.

Reagen’s contends that the trial court: 1) erroneously ruled no coverage existed under the terms of the employers’ liability portion of the policy; and 2) erroneously concluded that the court’s ruling on the coverage issue disposed of all material…