Edith and Tim York operated a grocery business in Florence, Wisconsin, under the name “Tim’s Food.”Tim’s leased, with an option to purchase, the building in which it operated. The owners of the building, Loretta and Daniel Baker, were required by the lease to maintain fire insurance on the building. Despite this lease provision, the Yorks, acting on the advice of an insurance agent for Fireman’s Fund, purchased a fire insurance policy on the building in the amount of $175,000. After a fire destroyed the building, Fireman’s refused to pay the Yorks on the grounds that the Bakers owned the building and, thus, the Yorks did not have an insurable interest. 

Questions:

Did Tim’s have an insurable interest in the building?