Insurance — equitable estoppel

Listen to this article

Wisconsin Court of Appeals

Civil

Insurance — equitable estoppel

Owners Insurance Company appeals an order applying equitable estoppel to bar it from denying coverage for a fire loss sustained at a commercial property owned by Draga Sikanovski and Agard Enterprises, Inc. (Sikanovski). Owners asserts that its post-loss cancellation, retroactive to two days before the loss occurred, was proper because Sikanovski failed to make timely and sufficient premium payments. We agree with the circuit court that Owners’ pattern of regularly accepting insufficient payments and threatening cancellation without ever cancelling the policy, at least to Sikanovski’s knowledge, was sufficient to establish reasonable reliance. Accordingly, we affirm the circuit court’s application of equitable estoppel to bar Owners’ denial of coverage. This opinion will not be published.

2013AP1387 Owners Insurance Company v. Sikanovski et al.

Dist III, Marinette County, Miron, J., Per Curiam

Attorneys: For Appellant: Tobin, Timothy P., Golden Valley, Minn.; Alton, Brock P., Minneapolis; For Respondent: Sparks, Geoffrey A., Marinette; Phillips, Christina M., Chicago