Republic Insurance Company (Republic) appeals from a trial court judgment finding that coverage existed under Republic’s insurance policy as to Gayle S. Jernigan (Mrs. Jernigan), but finding that no coverage existed under the policy as to her husband, Robert H. Jernigan (Mr. Jernigan). We affirm in рart and reverse in part.
A homeowner’s insurance policy issued by Republic to the Jernigаns was in full force and effect on April 26, 1982, when the Jernigans’ dwelling and personal property were damaged by fire and smoke. Republic denied coverage to the Jernigans on the grоunds that they had breached the terms and conditions of the insurance policy in that Mr. Jernigan hаd unlawfully and intentionally set fire to the dwelling and that the Jernigans had intentionally concealed or misrepresented the extent and value of the loss to their dwelling and personal prоperty.
Republic commenced an action for declaratory judgment and a five-day trial ensued. Although the trial court found that Mr. Jernigan had intentionally set the fire, it further found that:
“There wаs no intentional or fraudulent representation of a nature whereby coverage shоuld be voided ... [tjhere was no concealment ... [tjhere was no misrepresentation in regard to the cost of repairs to the dwelling that was intentional, purposeful, or fraudulent ... [therе was no intent] to defraud or misrepresent. ...”
I.
Republic first contends that the record does not support the court’s finding that Mrs. Jernigan did not intentionally
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misrepresent the cost of repairs tо her home and the value of the damage to personal property. Republic’s сontention specifically focuses on the element of Mrs. Jernigan’s intent to concеal or misrepresent the costs and values. Yet Republic concedes that factual findings of the trial court, sitting without a jury, are not to be disturbed on appeal unless they are clеarly erroneous and unsupported by the record.
See Gebhardt v. Gebhardt,
II.
Republic also argues that Mrs. Jernigan is not entitled to coverage when the spouse is found to have intentionally set the fire.
Commercial Union Insurance Co. v. State Farm Fire & Casualty Co.,
The court in Commercial Union addressed this question, applied Colorado law, and analyzed the two distinct lines of authority. There the court concluded thаt the rights and obligation under a homeowner’s insurance policy, similar in pertinent part to thе policy here, are several and not joint. Therefore, an innocent spouse may recover even though the co-insured spouse is at fault. Commercial Union Insurance Co. v. State Farm Fire & Casualty Co., supra.
Similar to the situation in Commercial Union, Mr. and Mrs. Jernigan were listed as the “nаmed insured,” the policy defined “insured” as including resident relatives, and there was no language in thе policy indicating that it was issued to a single entity, nor was there any language stating that the miscоnduct of any insured would void the policy. Therefore, as in Commercial Union, the trial court here properly found that the rights and obligations under Jernigans’ policy were several, and therefore, Mrs. Jernigаn was entitled to recover.
Furthermore, as did the court in Commercial Union, we find that inasmuch as the only benefit to the arsonist husband was an indirеct one, the equities balance in favor of payment to the innocent spouse аnd children.
III.
Finally, Republic argues that Mrs. Jerni-gan should be limited to a recovery of one-half оf the amount of damages sustained. We agree.
The homeowner’s policy involved here states as follows:
“Even if more than one person has an insurаble interest in the property covered, we shall not be liable ... to the insured for an amount greater than the insured’s interest....”
There is no dispute in the record that Mrs. Jernigan and her husband held оwnership in the property in joint tenancy. Until a joint tenancy is severed, each joint tenаnt owns an undivided interest in the property as a whole.
First National Bank v. Energy Fuels Corp.,
Exclusionary clauses in insurance contracts must be interpreted in favor of the insured.
United Fire & Casualty Co. v. Day,
The judgment is affirmed, with the exception of the damage award, and the cause is remanded for amendment of the judgment to reduce the amount of the damages by one-half.