United Services Automobile Association v. Dokter

Young, D. J.,

dissenting:

The issue to be decided in this case is whether there is any ambiguity in the “other insurance” clause involved in the insurance policies in this matter. The majority of the court indicates that there is no ambiguity in the “other insurance” clause when two different insurance companies are involved, but that an ambiguity arises when the same insurance company issues two policies to the same person. I do not agree with this contention. We are concerned here with insurance policies and their interpretation, not insurance companies. A careful reading of the language in the “other insurance” clause shows that it is free from ambiguity. The clause clearly states that the limit of liability is the highest amount of liability set forth in all policies *921involved, whether the policies are with the same company or different companies. The clause also clearly fixes the liability of a company under each policy on a pro rata share basis. Horr v. Detroit Automobile Inter-Insurance Exchange, 153 N.W.2d 655 (Mich. 1967).

Thus, in the instant case the maximum limit of liability under either policy is $10,000.00 and the company is liable in the amount of $5,000.00 under each policy, or a total of $10,000.00 under both policies. I would reverse.