In a case concerning coverage under a motor truck cargo insurance policy, a truck driver locked a truck and secured the two flatbed trailers, but left the keys under the floor mat inside the cab of the truck.
Following a theft, Lloyd's Underwriters ("Lloyd's") argued that this loss was not covered, because the policy in place only applied to trucks subject to such trucks "having all their openings closed, securely locked and all keys removed…."
The Plaintiff’s action against Lloyd's with respect to the disappearance of cargo on one of its truck trailer units was allowed. The court held that "all keys removed" created ambiguity as to whether the keys were intended to be removed from the locks or from anywhere in the truck. The Court found the wording of the Unattended Truck Endorsement was ambiguous, and interpreted the policy wording against Lloyd's.
421205 Alberta Ltd. (c.o.b. Schroeder Transport) v. Lloyd's Underwriters,  A.J. No. 311, March 17, 2011, Alberta Court of Queen's Bench, J.M. Ross J.