United Farm Bureau Mutual Insurance v. Elder

A vehicle cannot be a “replacement” vehicle under a policy of automobile insurance if the insured retains ownership of the “replaced” vehicle and if it remains operable. Although the insured may have intended to replace his insured vehicle here, he had not done so by the time of the accident. The second vehicle was therefore an “additional” vehicle within the meaning of the policy.

The United Farm Bureau Mutual Insurance Company filed a declaratory judgment complaint in the circuit court of Cook County, seeking a declaration of the coverage of a policy of automobile insurance it issued to…