First National Bank & Trust Co. v. Sun Insurance Office, Ltd.

Candler, Presiding Justice.

The First National Bank & Trust Company of Augusta (hereinafter referred to as the bank) purchased a policy of non-recording insurance from Sun Insurance Office, Ltd. Such insurance provides coverage to lending institutions on loans made in which personal property subject to recording statutes, such as automobiles, is pledged as collateral and where its lien on the pledged property is not recorded. An exclusion provision of the policy which the bank purchased provides: “This insurance shall not indemnify the insured in respect of any loss or losses: . . . (h)…