Globe & Rutgers Fire Insurance v. Chicago & Alton Railroad

In 1910, the plaintiff, an insurance company, issued a policy of fire insurance to a corporation engaged in coal mining in Randolph county. The policy covered a large number of small frame dwelling houses called “company or camp houses” *544each of which was valued at $240. A fire caused by a passing train on defendant’s railroad that ran through the camp totally destroyed ten of these houses and damaged others in the amount of twenty-five dollars. Proofs of loss were duly made by the coal company and plaintiff paid $2425 in discharge of its liability and received an assignment from the coal…