National Farmers Union Property and Cas. Co. v. Universal Underwriters Ins. Co., No. 18892
| Court | Supreme Court of South Dakota |
| Writing for the Court | MILLER; GILBERTSON |
| Citation | 534 N.W.2d 63 |
| Parties | NATIONAL FARMERS UNION PROPERTY AND CASUALTY COMPANY, Plaintiff and Appellee, v. UNIVERSAL UNDERWRITERS INSURANCE COMPANY, Defendant and Appellant. . Considered on Briefs |
| Docket Number | No. 18892 |
| Decision Date | 14 February 1995 |
Page 63
Plaintiff and Appellee,
v.
UNIVERSAL UNDERWRITERS INSURANCE COMPANY, Defendant and Appellant.
Decided July 5, 1995.
Chester A. Groseclose of Richardson, Groseclose, Wyly, Wise & Sauck, Aberdeen, for plaintiff and appellee.
Rodney Freeman, Jr. of Churchill, Manolis, Freeman, Kludt and Kaufman, Huron, for defendant and appellant.
MILLER, Chief Justice.
Appellant Universal Underwriters Insurance Company (Universal) appeals the trial court's decision upholding a "driver restriction" in an automobile insurance policy issued by National Farmers Union Property and Casualty Company (National Farmers). We affirm.
The parties stipulated to the facts before the trial court. In Aberdeen, South Dakota, on June 24, 1990, an automobile driven by Kelvin Elsing (Kelvin) collided with an automobile driven by Andrew Merkel and also occupied by Merkel's wife and daughter. The accident resulted in bodily injuries to the Merkels and property damage to their automobile. Kelvin's negligence caused the accident.
E.O. Johnson Motor Company (Johnson), an auto dealership, owned the automobile Kelvin had been driving at the time of the accident. Johnson carried automobile insurance from Universal. Universal's policy included liability coverage for persons who are strangers to the policy, if they are operating an insured automobile with the permission of the insured. Johnson had given Kelvin permission
Page 64
to operate the vehicle involved in the accident.At the time of the accident, Kelvin was living with his father, Henry Elsing (Henry). National Farmers had issued a policy of insurance to Henry, as the named insured, that provided automobile liability coverage to Henry and others. 1 This policy contained a "Driver Restriction" endorsement, signed by both Henry and Kelvin, that denied liability coverage to Kelvin while he was operating any vehicle to which the policy might apply, except for certain farm trucks.
Both National Farmers and Universal contributed sums toward final settlement of the various claims the Merkels brought against Kelvin. National Farmers then filed a declaratory action in circuit court, seeking reimbursement from Universal for the amounts which National Farmers contributed to the settlement. National Farmers contended it had been under no obligation to provide liability coverage to Kelvin, because the "Driver Restriction" in its policy specifically excludes Kelvin from coverage. Alternatively, in the event it was obligated to provide coverage, National Farmers argued its coverage was secondary to that of Universal. Universal countered that, pursuant to SDCL 58-11-9.3, the "Driver Restriction" was void to the extent of the minimum liability coverage mandated by South Dakota's Financial Responsibility Law. Universal further argued SDCL 58-23-4 operated to establish National Farmers as the primary insurer. The trial court upheld the validity of the "Driver Restriction" and named Universal the primary insurer. The trial court ordered Universal to reimburse National Farmers for the amounts it expended in settlement of the Merkels' claims against Kelvin. Universal appeals.
The primary issue in this appeal is whether SDCL 58-11-9.3 allows the "Driver Restriction" endorsement in National Farmers' policy to effectively exclude Kelvin Elsing from liability coverage under the policy. Construction of a statute is a question of law, reviewable de novo. Rural Pennington County Tax Ass'n v. Dier, 515 N.W.2d 841, 843 (S.D.1994).
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State v. Geise, No. 22368.
...no part of its statutory scheme be rendered mere surplusage. Nat'l Farmers Union Prop. and Cas. Co. v. Universal Underwriters Ins. Co., 534 N.W.2d 63, 65 (citing Revier v. School Bd. of Sioux Falls, 300 N.W.2d 55, 57 (S.D.1981)); 2A Norman J. Singer, Sutherland Statutory Construction § 46.0......
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State v. Krahwinkel, No. 22335.
...no part of its statutory scheme be rendered mere surplusage. Nat'l Farmers Union Prop. and Cas. Co. v. Universal Underwriters Ins. Co., 534 N.W.2d 63, 65 (S.D.1995) (citing Revier v. School Bd. of Sioux Falls, 300 N.W.2d 55, 57 (S.D.1980)); 2A Norman J. Singer, Sutherland Statutory Construc......
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Satellite Cable Services, Inc. v. Northern Electric Co-op., Inc., No. 20046
...Hills Legal Services, Inc., 1997 SD 64, p 8, 563 N.W.2d 429, 431; Nat'l Farmers Union P. & Cas. Co. v. Universal Underwriters Ins. Co., 534 N.W.2d 63, 65 (S.D.1995) Page 483 ; Rogers v. Allied Mut. Ins. Co., 520 N.W.2d 614, 617 (S.D.1994)(citing Kaberna v. School Bd. of Lead-Deadwood Sch. D......
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Steinberg v. S. Dak. Dept. of Military, No. 21101.
...it is presumed that the words of the statute have been used to convey their ordinary, popular meaning. National Farmers v. Universal, 534 N.W.2d 63, 65 (S.D.1995) (citing Oahe Conservancy Subdistrict v. Janklow, 308 N.W.2d 559, 561 (S.D.1981)). Indeed, "`injury' is the ... act or omission w......
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State v. Geise, No. 22368.
...no part of its statutory scheme be rendered mere surplusage. Nat'l Farmers Union Prop. and Cas. Co. v. Universal Underwriters Ins. Co., 534 N.W.2d 63, 65 (citing Revier v. School Bd. of Sioux Falls, 300 N.W.2d 55, 57 (S.D.1981)); 2A Norman J. Singer, Sutherland Statutory Construction § 46.0......
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State v. Krahwinkel, No. 22335.
...no part of its statutory scheme be rendered mere surplusage. Nat'l Farmers Union Prop. and Cas. Co. v. Universal Underwriters Ins. Co., 534 N.W.2d 63, 65 (S.D.1995) (citing Revier v. School Bd. of Sioux Falls, 300 N.W.2d 55, 57 (S.D.1980)); 2A Norman J. Singer, Sutherland Statutory Construc......
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Satellite Cable Services, Inc. v. Northern Electric Co-op., Inc., No. 20046
...Hills Legal Services, Inc., 1997 SD 64, p 8, 563 N.W.2d 429, 431; Nat'l Farmers Union P. & Cas. Co. v. Universal Underwriters Ins. Co., 534 N.W.2d 63, 65 (S.D.1995) Page 483 ; Rogers v. Allied Mut. Ins. Co., 520 N.W.2d 614, 617 (S.D.1994)(citing Kaberna v. School Bd. of Lead-Deadwood Sch. D......
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Steinberg v. S. Dak. Dept. of Military, No. 21101.
...it is presumed that the words of the statute have been used to convey their ordinary, popular meaning. National Farmers v. Universal, 534 N.W.2d 63, 65 (S.D.1995) (citing Oahe Conservancy Subdistrict v. Janklow, 308 N.W.2d 559, 561 (S.D.1981)). Indeed, "`injury' is the ... act or omission w......