John M. Kirby
Integon v. Villafranco| Permissive User | Material Misrepresentation
In Integon Nat'l Ins. Co. v. Villafranco, a 14-year-old drove his mother's car and overturned it, causing injury to passengers. The liability insurer argued first that the driver as not an insured because he did not have a reasonable belief that he was entitled to use the vehicle. Pursuant to the policy language, however, this exclusion did not apply "to a family member using your covered auto which is owned by you." The insurer then argued that the named insured failed to inform it that another person (Stallings) was the primary driver of the vehicle. The insurer failed, however, to place anything in the record showing that listing this person would have increased the premiums. Summary judgment was affirmed.
John Kirby has taught courses on insurance coverage in North Carolina, and has litigated cases involving allegations of material misrepresentation.