Budget Rent a Car of St. Louis v. Guaranty National Insurance Co.

CHARLES B. BLACKMAR, Senior Judge.

The plaintiff-appellant, Budget Rent A Car of St. Louis, owns and operates a large fleet of rental vehicles. In late 1987 an insurance broker, Terrill Agency, undertook discussions on Budget’s behalf with defendant, ADCO General Corporation, an agent for defendant Guaranty National Insurance Company, about liability insurance for drivers who rented automobiles from Budget. A rate was quoted and, on December 1, 1987, ADCO issued a binder in return for Budget’s payment of an initial premium deposit of $82,900. The binder insured “rentees” for “financial…