Daugaard v. Hawkeye Security Insurance

Egge, the owner of a Buick automobile, took out liability insurance on it in the Wolverine Insurance Company. The policy issued to him by the Company’s resident agent provided that such coverage would exist in his favor, not merely as to the Buick, but also as to any automobile not owned by him “while temporarily used as the substitute for the described automobile while withdrawn from normal use because of its breakdown, repair, servicing, loss or destruction”.

Obviously, the use of the terms “loss” and “destruction” implied and contemplated that a situation could physically come to exist in…