Hunter v. State Farm Fire And Casualty Co.

543 So.2d 679 (1989)

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Nature of the Case

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Facts

P and her husband, Howard K. Hunter, acquired their house by warranty deed in 1962. Mr. Hunter died in 1969. In 1970, P purchased a homeowner's insurance policy from D. This policy insured P's interest in the home and the personal property in the home. The policy was renewed each year and was in effect on October 7, 1985, when the insured premises were destroyed by fire. P did not live in the house after her hospitalization in 1982. She stayed with a daughter and then eventually in 1984, established her residence in an apartment complex for senior citizens. P informed D of her change of residence in a letter dated June 1984. P continued to pay the policy premiums when they were due. P's son suffered a theft loss at the house in February 1985, and the claim for this loss was paid by P. After the fire, D denied P's claims. D claimed that D did not have legal title to the house. While hospitalized P had signed a warranty deed transferring legal title to the house to her children. P claims, that she was misinformed about the nature of the instrument and that she thought the document she signed in the hospital provided that her home would go to her children upon her death. P continued to pay taxes on the home. Her grandson lived in the house and apparently paid her rent 'once or twice.' He also agreed to keep up the house for her. P kept most of her belongings, other than personal effects, in the house while she lived in the apartment. Pe moved because the house had too many stairs for someone in her condition, and it can be inferred that when her health improved the stairs would not be an obstacle. P claimed she always intended to return to the house and that she had begun fixing it up for her return. P sued her children, seeking a declaration of rights in the subject property, claiming in particular that the children held the property in a constructive trust. P sued D for breach of the terms of the contract of homeowner's insurance. D asserted that P did not have an insurable interest in the property damaged by the fire and that D was not guilty of negligence. The court granted D summary judgment for the house but held it liable for the personal property therein. D disputed the value of the loss claimed for the personal property. P appealed.