Opinion ID: 886211
Heading Depth: 1
Heading Rank: 13

Heading: Did the WCC erroneously decide this case on a previously unraised issue?

Text: ¶ 56 Dynamics further maintains that the WCC erroneously decided this case on a previously unraised issue. It argues that the WCC reversed, [the DLI hearing officer] primarily because it found that retroactive coverage was not acceptable under this Court's decision in Buerkley v. Aspen Meadows Ltd. Partnership, [1999 MT 97, 294 Mont. 263, 980 P.2d 1046]. Dynamics contends that the UEF did not argue the acceptability of providing a retroactive insurance policy and therefore the WCC should not have based its reversal on this issue. ¶ 57 We disagree with the premise that the WCC reversed based on a retroactive application of Buerkley. While the WCC referenced the Buerkley case after concluding that the Client Companies did not qualify for an exemption from providing their employees with workers' compensation coverage under § 39-71-117(3), MCA (1993), it did not rely upon that case to reach its conclusion. The WCC based its ruling on the failure of Dynamics to comply with § 39-71-117(3)(b), MCA (1993), and this Court's opinion in Dahl v. Uninsured Employers' Fund, 1999 MT 168, 295 Mont. 173, 983 P.2d 363. ¶ 58 Dynamics further argues that the WCC failed to consider Montana law regarding interpretation of insurance contracts. It maintains that any ambiguity in an insurance contract should be construed strictly in favor of the insured and against the insurer. We do not disagree that this is a correct statement of insurance law in this state. However, this contract principle does not apply here. The insurance contracts in this case were not ambiguous. The applicable contract principle in this case is that to be covered by an insurance policy, you must be a named insured. Human Dynamics Corporation was not an insured under these contracts. Thus, there was no incorrect application of the law on insurance by the WCC.