United States Court of Appeals

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United States Court of Appeals FOR THE EIGHTH CIRCUIT ___________ No. 02-2121 ___________ Geico General Insurance Company, *
* Appellee, * Appeal from the United States
* District Court for the District v. * of South Dakota.
* Laurie L. Sabo, * [UNPUBLISHED]
* Appellant. * ___________ Submitted: December 9, 2002 Filed: December 16, 2002 ___________ Before McMILLIAN, FAGG, and BYE, Circuit Judges. ___________ PER CURIAM. Laurie L. Sabo, a South Dakota resident, appeals the district courts adverse grant of summary judgment in this diversity-based insurance coverage case. While
Sabo was insured by Geico General Insurance Company (Geico), the car she was
driving was involved in an accident that injured her husband, a passenger in the car.
Sabos husband sued her in state court for injuries related to the accident. Geico filed
a declaratory judgment action in federal court, arguing it did not have a duty to
defend or indemnify Sabo in the underlying lawsuit because Sabos policy did not
cover bodily injury to a relative residing in her household. We review the district -2- courts grant of summary judgment de novo. See Equip Mfrs. Inst. v. Janklow, 300
F.3d 842, 849 (8 th Cir. 2002) (standard of review). Geicos duties to indemnify and defend Sabo are independent and severable duties. See Stoebner v. South Dakota Farm Bureau Mut. Ins. Co., 598 N.W. 2d 557,
559 (S.D. 1999). On appeal, Sabo argues her policy does not excuse Geico from its
duties to indemnify her or to defend her against her husbands claims. The relevant
portion of the policy, Section I, explains Geicos liability and creates the duties to
defend and indemnify: EXCLUSIONS
When Section I Does Not Apply We will not defend any suit for damage if one or more of the exclusions listed below applies.
1. Bodily injury to any insured or any relative of an insured residing in
[her] household is not covered in excess of the minimum coverages required
by the Financial Responsibility Law of the State of South Dakota. (Emphasis in original). South Dakotas Financial Responsibility Law sets the
minimum coverage amount for bodily injury . . . or death of one person in any one
accident at $25,000. S.D.C.L.

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