State Mutual Cyclone Insurance v. Abbott

State Mutual Cyclone Insurance Co. sought a declaratory judgment finding it had no duty to defend or pay damages possibly assessable against its insureds, Morris and Thelma Abbott, in a pending negligence action. State Mutual maintained that if its insured Morris Abbott did strike a spooky horse with a rasp, homeowner’s policy coverage was excluded. The insurer claimed such activity would be pursuant to Abbott’s horseshoeing business and not "ordinarily incident to nonbusiness pursuits”. The trial court, after a verdict for defendant Abbott in the principal action, found a duty to defend Mr.…