Odum v. Nationwide Mutual Insurance Co.

401 S.E.2d 87 (1991)

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Odum v. Nationwide Mutual Insurance Co.

North Carolina Court of Appeals
401 S.E.2d 87 (1991)

RW

Facts

North Carolina law required all licensed drivers to maintain at least minimal automobile-insurance coverage and provided that once an accident occurred, an insurer’s liability became absolute and could not be voided by any statement or policy violation by the insured driver. Following Arnetta McPhaul’s death in a car accident, Levata Odum (plaintiff), the administratrix of McPhaul’s estate, filed a claim against Nationwide Mutual Insurance Company (Nationwide) (defendant), which had insured McPhaul for twice the coverage mandated by state law. Nationwide denied indemnification on the grounds that McPhaul obtained her policy under false pretenses. Odum sued to enforce Nationwide’s policy. The trial court ruled in Odum’s favor. Nationwide appealed to the North Carolina Court of Appeals.

Rule of Law

Issue

Holding and Reasoning (Johnson, J.)

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