Stonegate Insurance Company v. Gonzo's Enterprises, INC

2026 IL App (1st) 242355-U
CourtAppellate Court of Illinois
DecidedMarch 24, 2026
Docket1-24-2355
StatusUnpublished

This text of 2026 IL App (1st) 242355-U (Stonegate Insurance Company v. Gonzo's Enterprises, INC) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stonegate Insurance Company v. Gonzo's Enterprises, INC, 2026 IL App (1st) 242355-U (Ill. Ct. App. 2026).

Opinion

2026 IL App (1st) 242355-U

SECOND DIVISION March 24, 2026

No. 1-24-2355

NOTICE: This order was filed under Supreme Court Rule 23 and is not precedent except in the limited circumstances allowed under Rule 23(e)(1).

IN THE APPELLATE COURT OF ILLINOIS FIRST JUDICIAL DISTRICT

STONEGATE INSURANCE COMPANY, ) Appeal from ) the Circuit Court Plaintiff-Appellee, ) of Cook County ) v. ) 22CH8889 ) GONZO’S ENTERPRISES, INC., and ) Honorable WILLIAM ROBERT BARTLETT, ) Thaddeus L. Wilson, ) Judge Presiding Defendants-Appellants. )

JUSTICE McBRIDE delivered the judgment of the court. Presiding Justice Van Tine and Justice D.B. Walker concurred in the judgment.

ORDER

¶ 1 Held: In declaratory judgment action involving underinsured motorist coverage in multivehicle policy, the circuit court properly resolved cross-motions for summary judgment in the insurer’s favor where policy unambiguously precluded stacking each vehicle’s coverage.

¶2 This is an insurance coverage dispute over the availability of underinsured motorist (UIM)

benefits. William Robert Bartlett was driving from Omaha, Nebraska to Chicago on October 17,

2020, in a car owned by Gonzo’s Enterprises, Inc. (Gonzo’s) when another driver caused a

collision in which Bartlett was severely injured. Bartlett’s medical bills totaled almost $1 million,

but the other driver was insured for only $50,000. Bartlett accepted the limits of the other driver’s

liability coverage and sought UIM coverage from Gonzo’s insurer, Stonegate Insurance Company 1-24-2355 (Stonegate). The private passenger auto insurance policy that Stonegate had issued to Gonzo’s

included declarations that listed 17 vehicles, including the 2012 Toyota Camry that Bartlett had

been driving, and 16 drivers, including Bartlett. Stonegate, however, denied Bartlett’s claim,

contending that its policy provided him a maximum of $50,000 UIM coverage, and since he had

received $50,000 from the insurer of the at-fault driver, that driver was not underinsured for

purposes of the Stonegate policy. Stonegate disagreed with Bartlett’s contention that he was owed

substantially more because ambiguities in the policy entitled him to “stack” (aggregate or combine)

the UIM bodily injury limits for all 17 covered vehicles in order to address his injuries. Stonegate

then filed this declaratory judgment action in which it prevailed on cross-motions for summary

judgment. Bartlett and Gonzo’s appeal. Because they have filed a single brief, we will be referring

to them as the singular person Bartlett.

¶3 The issue on appeal is whether the Stonegate policy, properly construed, permits “stacking”

of UIM coverage. Stacking is a concept that sometimes appears in disputes over UIM and

uninsured motorist coverage. In Kuhn, the Fourth District provided the following well-written

explanation of this “uncommon” issue:

“¶ 9 ‘Stacking ordinarily involves combining or aggregating the policy limits

applicable to more than one vehicle where the other vehicles are not involved in the

accident.’ [Citation.] ‘The issue of whether coverage may be stacked arises only because

the existence of coverage is a given.’ Hobbs v. Hartford Insurance Co. of the Midwest, 214

Ill. 2d 11, 23 (2005). That is, stacking, by its nature, requires that one occurrence is covered

by either (1) multiple policies or (2) multiple vehicles under the same policy, so that those

multiple sources of coverage may be combined. See Bruder v. Country Mutual Insurance

-2- 1-24-2355 Co., 156 Ill. 2d 179, 186-87 (1993) (explaining that whether the antistacking clause

appeared in only one of two policies did not matter because coverage can only be stacked

when an occurrence is covered more than once).

***

¶ 11 Stacking frequently arises in the context of underinsured motorist (UIM) or

uninsured motorist (UM) coverage [citation] because (1) UIM and UM coverage is

provided to an insured person ‘regardless of the vehicle in which the insured person is

located when injured’ *** [citation], (2) the purpose of UIM and UM is ‘ “to place the

insured in the same position he would have occupied if the tortfeasor had carried adequate

insurance” ’ [citation], and (3) UIM and UM coverage is required by statute to be included

in all automobile insurance policies [citations]. These three factors mean that someone who

obtains insurance for multiple vehicles is required to have UIM and UM coverage for each

vehicle, which necessarily means that if such a person is in an accident caused by an

uninsured or underinsured vehicle, then that person is potentially covered by the UIM and

UM at least twice, once for each vehicle.” (Emphasis in original.) Kuhn v. Owners

Insurance Co., 2023 IL App (4th) 220827, ¶¶ 9-11.

¶4 Antistacking provisions are provisions that allow insurers to limit liability coverage. See

Hobbs, 214 Ill. 2d 11. They generally do not conflict with Illinois public policy and they are

enforceable to the same extent as any other unambiguous contract terms. Id. at 17-18. In fact, for

many years now, the Illinois Insurance Code has expressly authorized the use of antistacking

provisions in motor vehicle insurance policies. 215 ILCS 5/143a-2(5) (West 2020) (“Nothing

herein shall prohibit an insurer from setting forth policy terms and conditions which provide that

-3- 1-24-2355 if the insured has coverage available under this Section under more than one policy or provision

of coverage, any recovery or benefits may be equal to, but may not exceed, the higher of the

applicable limits of the respective coverage, and the limits of liability under this Section shall not

be increased because of multiple motor vehicles covered under the same policy of insurance.”).

¶5 Barlett’s arguments implicate the following familiar concepts. Insurance policies are

contracts and when construing insurance policies we apply the general rules that govern the

construction of contracts. Hobbs, 214 Ill. 2d at 17. The primary rule is to ascertain and give effect

to the parties’ intention at the time of contracting. Id. If the policy language is unambiguous, it will

be applied as written, unless it conflicts with public policy. Id. However, if the policy language is

susceptible to more than one reasonable interpretation, then it is ambiguous and must be construed

in favor of the insured and strictly against the drafter of the policy. Acuity v. M/I Homes of Chicago,

LLC, 2023 IL 129087, ¶ 31. See Menke v. Country Mutual Insurance Co., 78 Ill. 2d 420, 424

(1980) (the rule of liberal construction comes into play only when there is an ambiguity). Only

reasonable construction of the language should be considered, not mere “creative possibilities.”

Bruder, 156 Ill. 2d at 193 (“Reasonableness is the key.”). “All the provisions of the insurance

contract, rather than an isolated part, should be read together to interpret it and to determine

whether an ambiguity exists.” U. S. Fire Insurance Co. v. Schnackenberg, 88 Ill. 2d 1, 5 (1981).

We will give effect to each provision where possible, under the assumption that each provision

was intended to serve a purpose. Acuity, 2023 IL 129087, ¶ 31. Under Illinois law, the construction

of an insurance policy is a question of law that we address de novo. Acuity, 2023 IL 129087, ¶ 21.

¶6 The de novo standard is also applicable because the circuit court granted summary

judgment. Id. ¶ 20.

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2026 IL App (1st) 242355-U, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stonegate-insurance-company-v-gonzos-enterprises-inc-illappct-2026.