Lease Car of America, Inc v. Rahn

The issue for decision in this case is whether MCL 500.3020; MSA 24.13020 requires an insurance company to provide notice of cancellation of a policy to each party who qualifies as an "insured” under the policy or only to those insured under the policy who are designated as entitled to notice of cancellation pursuant to the terms of the policy. We conclude that the statute requires notice to each party who qualifies as an "insured” under the policy.

I

Plaintiff, Lease Car of America, Inc., leased an automobile to Stephen Rahn. Pursuant to the lease agreement, Mr. Rahn was to purchase insurance,…