Liberty Mutual Insurance v. Iowa National Mutual Insurance

An employee of a consignor, owner of a truck-trailer, sustained bodily injury in the unloading of the semitrailer by an employee of the consignee. The consignee asserted that it was an omnibus additional insured under an automobile liability policy that named the consignor as insured and applied to the truck. The policy contained standard “exclusion of employees” and “severability of interests” clauses.

The district court concluded that the consignee, plaintiff Bushman Construction Company, was not an insured under the policy which defendant Iowa National Mutual Insurance Company had issued.…