Articles Posted in Insurance Coverage

In Arceneaux v. Turner, et al., the Louisiana Third Circuit Court of Appeal reversed a Lafayette trial court’s ruling that denied uninsured motorist coverage to a plaintiff. The plaintiff, Gerald Arceneaux, owned a towing company. In November of 2014, he was involved in a car accident while driving a 2012 Ford F250. In a sworn affidavit, Arceneaux stated that he was “on call” when the accident occurred and that the truck he was driving was outfitted with all tools and equipment necessary for any road side service request. Typically, Arceneaux would drive a Ford F450, but that vehicle was in need of repairs. After the accident, Arceneaux filed suit and sought uninsured or underinsured motorist coverage from his insurer. The insurer defended by filing a motion for summary judgment claiming that the policy did not provide coverage for the plaintiff’s claims.  The trial court granted the motion and Arceneaux appealed to the Third Circuit.

On appeal, the issue before the court was whether the F250 Arceneaux drove on the day of the accident could be considered a “temporary substitute vehicle” for Gerald Towing’s Ford F450 Wrecker. Citing Louisiana law, the defendant-insurer argued that Arceneaux could not recover, because he was operating his personal vehicle at the time of the accident and that the F250 was not a covered vehicle under the policy.  However, Arceneaux countered that under the policy the Ford F250 was a “replacement motor vehicle covered under the terms of the policy.” Moreover, the policy states that insureds are anyone occupying a “covered auto” or a “temporary substitute for a covered auto.” To support his claim, Arceneaux pointed to his sworn affidavit in which he stated that the F450 was in need of repairs on the date of the accident, and that he used the Ford F250 to perform work that could or would have been completed by the F450, if it was in service.

Turning to the facts and evidence, the Third Circuit agreed with the plaintiff that the Ford F250 served as a temporary substitute for a covered vehicle, specifically the Ford F450 Wrecker. Therefore, Arceneaux was an insured under the policy at the time of the accident and could potentially recover under his UM coverage. The Third Circuit reversed the trial court’s grant of the insurer’s motion to summary judgment and remanded the case for further proceedings.