Our insured carries a CP 00 10 10 90 form and has a loss that involves property of others. The policy language specifies that "our payment for loss of or damage to personal property of others will only be for the account of the owner of the property." There is a disagreement between several of us in the office regarding to whom payment should be made. Could you clarify if payment should be made directly to the owner of the property or to the insured, who would then hold the money on account for the owner of the property?

Illinois Subscriber

The payment would go directly to the owner of the property. The loss payment section of the form states that the insurer may adjust losses with the owners of lost or damaged property if other than the insured and will pay the owners, which will satisfy the insured's claims against the insurer for the owner's property.