Keller v. Safeco Insurance Co. of America

David Newbern, Justice.

Thomas Craig Keller, the appellant, is the owner of an airplane insured by the appellee, Safeco Insurance Company of America (Safeco). The insurance policy has two “deductible” provisions. One of them, 10% of the amount of insurance, is to be applied to an injury to the airplane which occurs when the airplane is “in motion.” The airplane is insured for $140,000, so the deductible under that provision is $14,000. The other, a flat $1,000 deductible, is to be applied when injury occurs when the airplane is “not in motion.”

An accident occurred, and Safeco declined to pay…