Lorsch v. Gibraltar Mutual Casualty Co.

MR. PRESIDING JUSTICE STAMOS

delivered the opinion of the court.

Defendants, Gibraltar Mutual Casualty Company and its successor, Gibraltar Insurance Company, * appeal from a judgment of $29,413.31 entered in favor of plaintiffs, Frederic Z. Lorsch and Bernard Miller, d/b/a Insurance Budget Plan (IBP) for unearned premiums on cancelled insurance policies.

IBP was in the business of financing premiums on automobile insurance policies, and financed the 199 policies written by defendants from August, 1960, to May, 1961, involved in this dispute. IBP’s method of operation was to deal indirectly with…