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Case Intel

• Progressive County Mutual seeks court declaration that it owes no coverage for fatal cement truck accident involving Tycoon Ready Mix LLC
• Insurer argues the overturned cement truck that killed Luis Miguel Cantu was not listed on Tycoon's commercial auto policy
• Case centers on whether Tycoon acted as motor carrier or merely hired contractor, with wrongful death lawsuit still pending since December 2023

USA HERALD - A Progressive Insurance subsidiary told a Texas state court it should not be required to defend or pay damages in a wrongful death lawsuit involving a fatal cement truck rollover, arguing the vehicle was never covered under the defendant company's commercial auto policy.

Progressive County Mutual Insurance Co. filed the declaratory action Friday against Tycoon Ready Mix LLC in Harris County District Court, seeking to avoid coverage obligations in an underlying wrongful death case that has been pending since December 2023.

The coverage dispute stems from a tragic intersection accident where a cement truck owned by Nava Ready Mix allegedly failed to stop at a stop sign, striking and crushing the vehicle of Luis Miguel Cantu, who died in the crash. Patricia Cantu later filed the wrongful death lawsuit on behalf of her husband's estate.

Progressive's commercial auto policy with Tycoon lists eight vehicles, but "does not describe or list" the cement truck involved in the fatal accident, the insurer argued in court filings. The company maintains that the underlying negligence claims against Tycoon do not arise from the "ownership, maintenance, or use" of an automobile as required under the policy's coverage terms.

Instead, Progressive contends the lawsuit specifically targets Tycoon's alleged negligence in hiring and supervising Nava Ready Mix and its driver who caused the accident. The underlying complaint alleges Tycoon failed to implement adequate safety procedures and properly supervise the contractor it hired to transport cement.

The insurer also challenged coverage under a "Form F" endorsement designed to align with Texas transportation code requirements for commercial motor carriers. Progressive argued that while this endorsement provides coverage when Tycoon acts as an "intrastate commercial motor carrier," the underlying lawsuit alleges Tycoon hired Nava as an independent contractor rather than operating as a motor carrier itself.

"Accordingly, Tycoon was not acting as a commercial motor carrier as envisioned by Texas law at the time of the accident," Progressive stated in its filing.

The wrongful death lawsuit, most recently amended in February 2024, remains pending in state court. Representatives for all parties did not immediately respond to requests for comment.

Gregory Ave of Walters Balido & Crain LLP represents Progressive in the coverage dispute.