Transamerica Insurance v. Smith

Deen, Presiding Judge.

Smith owned various trucks which he used in a garbage disposal business and insured with defendant Transamerica Insurance Co. by paying a cash down payment and financing the rest through American National Bank & Trust Co. of Chattanooga, the intervenor and loss payee. A Chevrolet garbage truck was left one morning with engine running to warm up; it ''"exploded” and burned on July 10, 1971, during the 1970-1971 policy period. Defendant refused to pay on the ground that the. fire and/or explosion coverage had been eliminated by endorsement. From a verdict for the insured…