Markel Insurance Co. v. Rau

954 F.3d 1012 (7th Cir. 2020)

Words & Phrases

Definitions: Scheduled Autos

Trial Judge

Holly A. Brady

Appellate Judge

Wood

Holding

Policy did not provide coverage for ambulance involved in accident because its addition had not been approved.

Fact Summary

United Emergency Medical Services, LLC (“United”) owns a fleet of ambulances. In 2016, Chester Stofko was driving his car when one of United’s ambulances crashed into it; Stofko’s injuries were fatal. Lillian Rau, as per­sonal representative of Stofko’s estate, filed a lawsuit in state court against United and the driver to recover damages.

At the time of the accident, United was insured by Markel Insurance Company. The particular ambulance that crashed, however, was not listed on the policy. Rau argues that it was nevertheless covered by the policy because before the crash United sent Markel’s agent, Insurance Service Center (“Cen­ter”), an email requesting that the vehicle be added to the pol­icy. Markel insists that even if United had sent an email, it never endorsed the change, which the policy requires, and so it has no duty to indemnify United or the driver and no duty to defend with respect to Rau’s suit.

Seeking a declaratory judgment to this effect, Markel filed the present suit in federal court. On cross-motions for sum­mary judgment, the district court found that Markel had no obligation to United or its employee under the policy. We agree with this conclusion, and so we affirm.

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