Charter Bank of Boonville v. Shelter General Insurance

PRITCHARD, Presiding Judge.

The issue is whether respondent, Charter Bank of Boonville, the lienholder upon a 1977 Chevrolet truck, had collision coverage, by virtue of a loss payable clause in appellant’s policy of insurance issued to one Whitworth and spouse who permitted the policy to lapse for non-payment of a premium, after which they traded in the vehicle designated in the policy.

Charter Bank’s predecessor, National Bank of Boonville, was named as loss payee in the Whitworths’ policy, covering a 1977 Ford pickup truck, with an inception time of April 23,1979, and an expiration date of…