Gilbert v. United States Fire Insurance

This is an appeal from a judgment entered on a verdict reforming a policy of insurance issued to Sam Gilbert, plaintiff-respondent,
by United States Fire Insurance Company, defendant-appellant, so as to provide Great Lakes navigation coverage for the month
of July, 1967. On the policy, as reformed, the plaintiff recovered damages and costs. The plaintiff owned a boat that was insured by the defendant under a one-year policy which contained a territorial restriction
clause that excluded coverage of the vessel while afloat on the waters of the Great Lakes. A special endorsement and additional
premium were required for Great Lakes coverage. The issue of whether the incident causing the loss of plaintiff's boat occurred
on territorial waters or the Great Lakes is not before us on appeal. If the jury had found the incident had occurred on territorial
waters, the loss would have been covered under plaintiff's basic policy. The territorial coverage was extended by an endorsement
providing for Great Lakes coverage for the period from June 30, 1967, to July 9, 1967. The boat exploded and sank on July
23, 1967. The endorsement was actually issued by the defendant, following its usual course of business in processing, and
received by the plaintiff, a few days after the loss occurred.