Court Opinion

ID: 9778686
Source: CourtListenerOpinion
Date Created: 2023-08-29 21:16:22.28087+00
Date Added: 2024-06-11T07:33:12.602808
License: Public Domain

HUTSON-DUNN, Justice,
dissenting.
I respectfully dissent.
I would hold that the insurance policy in this case is ambiguous, construe the policy against the insurance company, National Union Fire Ins. Co. v. Hudson Energy Co., 811 S.W.2d 552, 555 (Tex.1991); Entzminger v. Provident Life & Acc. Ins. Co., 652 S.W.2d 533, 536 (Tex.App.—Houston [1st Dist.] 1983, no writ), and remand the case for trial.
When an insurance company takes it upon itself to insure an entity, as here (Gullo-Haas), then a reasonable interpretation of the words “family member” take on a meaning other than that applied when the insured is an individual. In a situation such as this, it is reasonable to interpret the phrase “family members” to extend to the employees of the insured entity. By interpreting the term “family members” broadly, insuring the entity is not a useless act. Any other interpretation would render the policy useless. Decker v. CNA Ins. Co., 66 Ohio App.3d 576, 581-582, 585 N.E.2d 884, 888 (1990).
In Decker, the court reasoned that when the named insured is a corporation, an insurance policy provision defining the insured as “you” or any “family member” is open to interpretation. 585 N.E.2d at 888. The court construed the language to include an employee under the protection of the policy. Id. In Hartford Acc. & Indem. Co. v. Huddleston, 514 S.W.2d 676, 678 (Ky.1974), the court reasoned that a legal entity cannot have a spouse or relatives and upheld coverage for partners and their relatives even though the partnership was the named insured.
Therefore, I would interpret the family-oriented language to include coverage for Gullo-Haas employees and their relatives, adopting the construction that most favors the insured. National Union Fire, 811 S.W.2d at 555 (Tex.1991); Entzminger, 652 S.W.2d at 536.
I would reverse and remand this cause for trial.