Insurance of North America v. Sam Harris Construction Co.

Opinion

NEWMAN, J.

We are concerned here with a liability and indemnity insurance policy that covered defendants’ airplane. Coverage G of the policy protected against liability for injury or destruction of property “arising out of the . . . maintenance ... of the aircraft.” The policy applied, however, only to “occurrences or accidents which happen during the policy period”; and the period stated was from September 3, 1971, to July 1, 1972.1

On April 19, 1972, after they had sold the plane, defendants cancelled their coverage and received a $626 premium refund for the balance of the policy…