Travelers Insurance Co. v. Emery

The Travelers Insurance Co. (Travelers) appeals a final judgment denying its complaint for declaratory relief as “premature.” Travelers asserts entitlement to a declaratory judgment that a homeowner’s policy excludes coverage for an insured’s alleged “business pursuit,” terminating any duty to defend him against a third party in prospective liability litigation. We reverse.

In December 1987, inmate Jack Kemp was rendered quadriplegic while operating a tractor owned by Paul Emery, the insured, and maintained by a non-profit organization under state contract on a cattle farm in a special…