Appellate Court reverses lower court and summarily dismisses coverage dispute with Auto Owners Insurance Company
Kristen Smith was appointed Next Friend of 7 year-old girl who was fondled by a 16 year-old camp counselor. When she argued for insurance compensation from the young man's homeowner's insurance company, the company instituted a Declaratory Judgment action to confirm that it was not obligated to compensate the girl. The insurer argued that its coverage did not apply to any damages caused by an intentional act of the insured homeowner family members. The exclusion in the policy contained an exclusionary provision relating to any damages "reasonably expected or intended by the insured." Because the young man testified that he knew what sex was, knew that sexual touching was wrong, knew that his touching was non-consensual and "as big a deal as it was," the Court held there was no coverage for the damages that he caused the girl--regardless of the fact that he had not yet reached adulthood.