Transport Indemnity Co. v. Carolina Cas. Ins. Co
In Transport Indemnity Co. v. Carolina Cas. Ins. Co., 133 Ariz. 395, 399, 652 P.2d 134, 138 (1982) the insurer argued, as CNA does here, that its policy provided no coverage because the acts of its insured did not cause the accident and therefore the claim was not one "arising out of" the occupation of the named insured, as required for coverage under that policy. Transp. Indem. Co., 133 Ariz. at 399, 652 P.2d at 138.
The Arizona Supreme Court rejected this argument and held that the occurrence "arose out of" the insured's business because there was a causal nexus sufficient to warrant the conclusion that the accident was "incident to or connected with" the use of the vehicle in the business of the named insured.
"The causal connection required is not proximate cause; i.e., the business of the named insured need not have caused the occurrence, it need only be related to it." Id. at 399, 652 P.2d at 138.