Employers Casualty Company v. Transport Insurance Company Employers Casualty Company v. Transport Insurance Company

Employers Casualty Company v. Transport Insurance Company

1969.TX.40928; 444 S.W.2D 606, 12 TEX. SUP. J. 560

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Publisher Description

Petitioner, Employers Casualty Company, and Respondent, Transport Insurance Company, were the respective public liability insurance carriers of Prior Products, Inc., and Hunsaker Truck Lease, Inc. Prior Products leased a truck from Hunsaker that was involved in a collision with an automobile being occupied by Peter and Hazel Siegel who suffered personal injuries. The Siegels sued Prior Products. Transport denied that Prior Products was an insured under the policy issued to Hunsaker and refused a tender to defend the suit. Employers assumed defense of the suit and negotiated a settlement under which it paid the Siegels, on behalf of Prior Products, the sum of $6,750.00, and paid a fee to its own attorney in the sum of $607.50. It is not questioned that the settlement was fair and reasonable. Employers liability limit was $300,000; that of Transport was $500,000. Each policy had this provision, commonly called a "pro rata" or "other insurance" clause:

GENRE
Professional & Technical
RELEASED
1969
30 July
LANGUAGE
EN
English
LENGTH
19
Pages
PUBLISHER
LawApp Publishers
SIZE
79.8
KB

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