An insured contractor parked his truck at a friend's business. The vehicle was broken into and tools and materials were stolen. We have a CP 00 10 with a tool and installation endorsement. The company is paying for the tools but is denying coverage for the materials because (1) they weren't at a job site or temporary storage location at which the insured has an insurable interest; (2)not in the insureds care, custody, or control; or (3)not in transit. I disagree and contend that not only were they in the insureds care, custody, and control, but they could also be considered “in transit.” Am I correct in my thinking?

Pennsylvania Subscriber

Courts have held that items in a locked, unattended vehicle can still be considered to be in the insured's care, custody, or control. The materials could also be considered in transit. The determination may come down to if the materials were indeed locked in a parked vehicle as opposed to lying in the open in the back of a truck, and the length of time the truck was parked at the friend's business. We see a difference between a brief stop en route to the job site and parking the car at the friend's business overnight or for days. A court may or may not see this is as “in transit.”