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Michael F. Schmidt Obtains Summary Disposition To Enforce Household Exclusion In An Automobile Liability Policy

Randy Robert Begin, as Conservator of The Estate of Lily Begin, a Minor and Madison Begin, a Minor v Nationwide Mutual Fire Insurance Company, Wayne County Circuit, claim by the plaintiffs to seek automobile liability coverage for a claim against their deceased mother as a result of an auto accident, pursuant to the automobile liability policy issued by Nationwide Mutual Fire Insurance Company to Tony Martinez, who had married the minor children’s mother.  We argued on behalf of Nationwide that any coverage for any claim by the minors against their mother arising out of the automobile accident would be limited by the household exclusion with the drop down clause appearing in the Nationwide policy to the Michigan Financial Responsibility limits of $20,000/$40,000.  The plaintiffs argued that the exclusion was ambiguous and unenforceable.  We successfully argued that the exclusion was not ambiguous, and was valid and enforceable and the court granted summary disposition in favor of Nationwide limiting coverage to $20,000/$40,000.