RICHARD G. BREBNER VS. GOVERNMENT EMPLOYEES INSURANCE COMPANY (L-1550-18, CAMDEN COUNTY AND STATEWIDE) ( 2021 )


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  •                                 NOT FOR PUBLICATION WITHOUT THE
    APPROVAL OF THE APPELLATE DIVISION
    This opinion shall not "constitute precedent or be binding upon any court ." Although it is posted on the
    internet, this opinion is binding only on the parties in the case and its use in other cases is limited. R. 1:36-3.
    SUPERIOR COURT OF NEW JERSEY
    APPELLATE DIVISION
    DOCKET NO. A-0974-19T2
    RICHARD G. BREBNER and
    ROSEANN BREBNER,
    Plaintiffs-Appellants,
    v.
    GOVERNMENT EMPLOYEES
    INSURANCE COMPANY, 1
    Defendant-Respondent,
    and
    JENNIFER KOLASINSKI,
    claims manager,
    Defendant.
    ____________________________
    Submitted January 6, 2021 – Decided January 21, 2021
    Before Judges Whipple, Rose, and Firko.
    1
    Improperly pled as Government Employees Insurance Company, General
    Insurance Company, GEICO Indemnity Company, GEICO Casualty Company,
    GEICO Advantage Insurance Company, GEICO Choice Insurance Company,
    GEICO Secure Insurance Company, a/t/a/d/b/a GEICO.
    On appeal from the Superior Court of New Jersey, Law
    Division, Camden County, Docket No. L-1550-18.
    John F.X. Fenerty, Jr., attorney for appellant.
    Margolis Edelstein, attorneys for respondent (Colleen
    M. Ready, of counsel and on the brief; Ian Mark Sirota,
    on the brief).
    PER CURIAM
    In this insurance coverage dispute, plaintiff Richard G. Brebner 2 was
    insured by defendant Government Employees Insurance Company (GEICO)
    under a New Jersey Family Automobile Insurance Policy that included
    underinsured motorist (UIM) coverage. On August 19, 2015, plaintiff was
    injured while driving home from work in his employer's 2009 Kia Rondo
    automobile, and claimed his injuries exceeded the $25,000 bodily injury policy
    limits tendered by the tortfeasor's insurance carrier. Plaintiff filed a claim under
    his UIM coverage, which GEICO denied based on the policy's "regular use"
    exclusion. Plaintiff's ensuing complaint seeking coverage from GEICO was
    dismissed by the Law Division on the parties' cross-motions for summary
    judgment.
    2
    We refer to Richard G. Brebner as plaintiff, although we recognize Roseann
    Brebner, his wife, has filed a derivative claim for loss of consortium.
    A-0974-19T2
    2
    Plaintiff now appeals from the motion judge's September 27, 2019 order. 3
    Acknowledging the essential facts are undisputed, plaintiff raises a single legal
    issue for our consideration, contending the judge erred because plaintiff was not
    "regularly using" the Kia at the time of the accident. Having conducted a de
    novo review of the record, we affirm.
    Plaintiff was employed as a supervisor for a company that provided
    ultrasound services. He was permitted to drive the Kia during the course of his
    self-described "24/7" employment, which required frequent driving between the
    company's two offices, various client jobsites, and the airport when necessary.
    Plaintiff drove the Kia at least five days per week, including some weekends,
    but he was not permitted personal use of the car. Plaintiff's employer monitored
    his travel via tracking software installed in the Kia.
    As reflected in the declarations page of the GEICO policy, plaintiff and
    his wife were named insureds; their cars – a 2009 Saturn Outlook and a 2014
    Hyundai Sonata – were covered vehicles. Under the "LOSSES WE WILL PAY"
    subsection    of     the    "UNINSURED/UNDERINSURED                 MOTORISTS
    3
    The order provided on appeal only includes the judge's decision granting
    defendant's summary judgment motion, but the record reveals plaintiff filed a
    cross-motion for summary judgment, seeking coverage under the GEICO policy.
    In addition, the parties have not provided any information concerning Jennifer
    Kolasinski's disposition before the trial court; she is not a party to this appeal.
    A-0974-19T2
    3
    COVERAGE" section of the policy, GEICO agreed to pay "damages for bodily
    injury . . . caused by an accident which the insured is legally entitled to recover
    from the owner or operator of an . . . underinsured motor vehicle arising out of
    the . . . use of that vehicle." An underinsured motor vehicle is defined in the
    policy as "a land motor vehicle or trailer of any type to which a liability bond or
    policy applies at the time of the accident but its limit for liability is less than the
    limit of liability for this coverage."
    GEICO did not dispute the tortfeasor's vehicle was underinsured. Instead,
    GEICO denied coverage under exclusion six: "[B]odily injury sustained by an
    insured while occupying a motor vehicle not owned by, and furnished for the
    regular use of the insured when involved in an accident with an underinsured
    motor vehicle." Plaintiff countered he was not using the Kia for regular use
    because he was not permitted to occupy the car outside the scope of his
    employment, and he drove the Saturn Outlook as his personal vehicle.
    We review a trial court's order granting or denying summary judgment
    under the same standard employed by the motion judge. Templo Fuente De Vida
    Corp. v. Nat'l Union Fire Ins. Co. of Pittsburgh, 
    224 N.J. 189
    , 199 (2016).
    Because the interpretation of an insurance contract is a question of law, our
    review is de novo. Polarome Int'l, Inc. v. Greenwich Ins. Co., 404 N.J. Super.
    A-0974-19T2
    4
    241, 260 (App. Div. 2008); see also Nicholas v. Mynster, 
    213 N.J. 463
    , 478
    (2013) (recognizing appellate courts review summary judgment motions de
    novo, and accord no deference to the judge's conclusions on issues of law).
    Generally, New Jersey courts apply a "canon of liberal construction . . . to
    effect the broadest range of protection to those who travel on and across
    roadways." French v. Hernandez, 
    184 N.J. 144
    , 154 (2005) (internal quotation
    marks omitted). Insurance policies are considered "contracts of adhesion," and
    as such, are "construed liberally in [the insured's] favor" to provide coverage "to
    the full extent that any fair interpretation will allow." Longobardi v. Chubb Ins.
    Co., 
    121 N.J. 530
    , 537 (1990) (alteration in original) (citing Kievit v. Loyal
    Protective Life Ins. Co., 
    34 N.J. 475
    , 482 (1961)). Thus, it follows that coverage
    clauses should be interpreted liberally, while exclusionary provisions should be
    strictly construed. Simonetti v. Selective Ins. Co., 
    372 N.J. Super. 421
    , 429
    (App. Div. 2004); see also Gibson v. Callaghan, 
    158 N.J. 662
    , 671 (1999).
    The burden is on the insurer to demonstrate the claim falls within the
    purview of the exclusion. Am. Motorists Ins. Co. v. L-C-A Sales Co., 
    155 N.J. 29
    , 41 (1998). However, exclusionary provisions are presumptively valid if they
    are "specific, plain, clear, prominent, and not contrary to public policy."
    Homesite Ins. Co. v. Hindman, 
    413 N.J. Super. 41
    , 46 (App. Div. 2010) (citing
    A-0974-19T2
    5
    Princeton Ins. Co. v. Chunmuang, 
    151 N.J. 80
    , 95 (1997)). Accordingly, "[i]f
    the policy terms are clear, courts should interpret the policy as written and avoid
    writing a better insurance policy than the one purchased." President v. Jenkins,
    
    180 N.J. 550
    , 562 (2004).
    On appeal, plaintiff reprises the arguments he raised before the motion
    judge, contending our Supreme Court's decisions in DiOrio v. New Jersey
    Manufacturers Insurance Co., Inc., 
    63 N.J. 597
     (1973) (DiOrio I) and DiOrio v.
    New Jersey Manufacturers Insurance Co., Inc., 
    79 N.J. 257
     (1979) (DiOrio II),
    support his argument. Plaintiff argues the judge instead erroneously relied on
    our decision in Fiscor v. Atlantic County Board of Chosen Freeholders, 
    293 N.J. Super. 19
     (App. Div. 1996). We disagree and conclude the judge's decision was
    consistent with existing precedent.
    In DiOrio I, our Supreme Court noted with respect to liability coverage
    "[t]he word 'furnished' connotes much more than permission to use." 
    63 N.J. at 603
    . The term "connotes some general right to use, something more than use
    with permission on occasions, whether recurring or isolated." In DiOrio I, the
    operator of a company-owned vehicle was the son of one of the owners at the
    time of the accident. 
    Id. at 605
    . But the son's use was "wholly occasional and
    depended on the father's permission . . . ." 
    Ibid.
     The car therefore was not
    A-0974-19T2
    6
    furnished for the son's regular use. 
    Ibid.
     The Court remanded for resolution of
    two issues: whether the father regularly used the vehicle, and whether the
    father's regular use of the vehicle triggered the "regular use" coverage exclusion.
    
    Id. at 607-08
    .
    Following remand, the matter returned to the Supreme Court on the same
    two questions. DiOrio II, 
    79 N.J. at 261-62
    . Because there were no restrictions
    as to "how and why and when" the father could use the vehicle, the Court found
    ample support that the company-owned car was furnished to the father for his
    "regular use" within the meaning of the policy, which precluded coverage. 
    Id. at 269-70
    .
    Other cases interpreting the meaning of the term underscore that "regular
    use" is not limited to situations in which the vehicle is used both for business
    and personal uses, or based on the frequency of use. In Venters v. Selected
    Risks Insurance Co., 
    120 N.J. Super. 549
     (App. Div. 1972), we rejected the
    motion judge's summary judgment determination that the plaintiff bus driver
    was not furnished a bus for "regular use" where the plaintiff did not drive the
    same bus every day. We found it did not matter whether a specific bus – or
    various buses – were assigned to the plaintiff. 
    Id. at 552
    . The bus was furnished
    by his employer for the plaintiff's regular use. 
    Ibid.
    A-0974-19T2
    7
    Twenty-two years later, we decided Malouf v. Aetna Casualty & Surety
    Company, 
    275 N.J. Super. 23
     (App. Div. 1994), which was cited by the motion
    judge in the present matter. In Malouf, we held the frequency of the vehicle's
    use was not the central issue. "The question [wa]s not whether [the plain tiff]
    frequently used the vehicle but whether it was 'furnished' for his regular use."
    
    Ibid.
     (citation omitted).
    Two years later, we decided Fiscor, 
    293 N.J. Super. 19
    , which the motion
    judge primarily relied upon to support his decision in the present matter. In
    Fiscor, we affirmed the denial of coverage when the warden of a jail, who was
    on call twenty-four hours a day, had an accident while intoxicated in a county-
    owned vehicle he was permitted to drive for work, and to and from his home.
    Id. at 21-22. We held, "[w]here the insured, as in the present case, has an
    unrestricted right to use the vehicle for business purposes and was using the
    vehicle for such purposes at the time of the accident, the vehicle is one that is
    furnished for his regular use." Id. at 27-28 (emphasis added).
    We are satisfied from our review of these cases that the exclusion applied
    here. It was undisputed that plaintiff's employer furnished the Kia for plaintiff's
    use during plaintiff's work hours, and that use was not restricted for business
    purposes. Indeed, plaintiff had a general right to use the Kia while working,
    A-0974-19T2
    8
    when needed, twenty-four hours per day, including weekends. The Kia was used
    daily, not occasionally. Notably, the accident occurred while plaintiff was using
    the car while driving home from work. These are precisely the characteristics
    other courts have recognized that constitute the furnishing of a vehicle for the
    "regular use" of the insured.
    Affirmed.
    A-0974-19T2
    9