Burdick v. GEICO

A question remained as to whether the insured's daughter was a "resident" in her father's house when her father was involved in an accident, while driving his daughter's uninsured automobile.

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Loring Burdick was driving his daughter Melissa’s uninsured car when he was involved in an accident. After the other driver sued, Government Employees Insurance Company GEICO brought this declaratory action to determine its responsibilities as Burdick’s insurer. The trial court granted GEICO summary judgment on the ground that since Melissa’s car was not covered by her father’s policy, GEICO could not be liable. We find, however, that because a question of fact remains as to whether Melissa was a “resident” in her father’s house at the time of the accident for purposes of her father’s auto insurance policy, and that if she was not a resident, GEICO could be subject to liability under the policy, we must reverse. The record reveals that in June 2001, Melissa and her daughter moved into a house rented and occupied by her parents. The two lived in the downstairs portion of the house accessed by its own key and containing its own bathroom, refrigerator, and microwave. Melissa paid rent to her parents and was exclusively responsible for the care of her child, including daycare expenses. Melissa also paid for the household’s cable television as well as a cell phone plan that she shared with her father. The house had a single exterior main entrance and a single mailbox, and the family often ate together.

Shortly after moving in, Melissa stopped paying premiums on the Nationwide insurance policy covering her 2000 Chevrolet Cavalier. The Cavalier was never listed as a covered auto on her father’s GEICO policy. By her own account, Melissa “affirmatively misrepresented” to her parents that she still had coverage even after she had stopped paying the premiums. On a few occasions, and believing that the car was properly insured, Mr. Burdick borrowed his daughter’s car with her permission.

Burdick v. GEICO

A question remained as to whether the insured's daughter was a "resident" in her father's house when her father was involved in an accident, while driving his daughter's uninsured automobile.

Share with Email

Thank you for sharing!

Trending Stories

More From ALM

Subscribe to Daily Report