How often does a court take on the doctrine of uberrimae fidei? The Hawaii appellate courts have never confronted uberrimae fidei. The Ninth Circuit, however, has addressed the doctrine twice in a little more than a month. We addressed in a prior post the Ninth Circuit’s prior handling of the
March 2008
More Bad News for Bear Stearns
By Tred R. Eyerly on
The Big, Bad Bear of Wall Street disintegrated earlier this week. Shortly before its demise, the Bear suffered a significant insurance loss at the hands of the New York Court of Appeals. Vigilant Ins. Co. v. The Bear Stearns Companies, Inc., No. 25 (N.Y. March 13, 2008).
You may recall …
Insurer’s Burden on Summary Judgment to Show that Erroneous Application Justifies Non-Coverage is High
By Tred R. Eyerly on
The Hawaii Intermediate Court of Appeals previously held an insurer faces a difficult burden justifying on summary judgment a denial of coverage due to incorrect information stated in an insurance application. See First Ins. Co. of Hawaii, Ltd. v. Sariaslani, 80 Haw. 491, 911 P.2d 126 (Haw. Ct. App. 1996). The ICA …
Flood Insurance: To Buy or Not to Buy
By Tred R. Eyerly on
Reading many Katrina-related cases and the onset of National Flood Safety Awareness Week this week forces me to ponder the purchase of flood insurance. Every article and relevant website on the subject advocates the purchase of flood insurance. Still, our Honolulu home is on high ground, a mile and a half from the …
Anti-Concurrent Cause Provision Bars Coverage for Wind and Rain
By Tred R. Eyerly on
Hawaii courts have yet to determine the impact of an anti-concurrent cause provision when a property owner suffers damage caused by wind and rain. The U.S. District Court for the District of Maryland recently found such a provision in a homeowner’s policy barred coverage where both wind and rain caused damage. Bao v. …
Iditarod Sled Dog Race has Insurance Connections
By Tred R. Eyerly on
As a former resident of Alaska, I keep close tabs this time of year on the progress of the Iditarod, a sled dog race from Anchorage to Nome, covering 1100 miles. Six days into the race, the leaders reached Cripple, Alaska today, the halfway point.
I cannot think of a Hawaii …
Reserrected Hawaii Medical Malpractice Liability Bill Short-lived
By Tred R. Eyerly on
A recent post noted the Hawaii legislature’s resurrection of the medical malpractice liability bill. The Honolulu Advertiser reports the bill was effectively killed two days later.
The Hawaii Medical Association promoted the reform legislation, contending a cap on non-economic damages would lower malpractice premiums and reduce some of the uncertainty about …
Relying on Hawaii Insurance Law, New York Court Rules Consequential Damages Properly Awarded Against Insurer
By Tred R. Eyerly on
The New York Court of Appeals recently ruled that commercial property owners can seek “consequential damages” against their insurers who breach the policy. In reaching its decision, the Court relied, in part, on a decision by the Hawaii Court of Appeals, The Best Place, Inc. v. Penn Am. Ins. Co., 82 Haw. 120, …
Additional Insured Covered Even if not Entitled to Contractual Indemnification Due to Negligence
By Tred R. Eyerly on
Under Hawaii law, a party to a construction contract cannot exempt itself from liability for bodily injury caused by its “sole negligence or willful misconduct.” Haw. Rev. Stat. §431:10-222. Texas is similar in that it does not allow an indemnity agreement to cover an indemnitee’s sole negligence, but provides an exception if the …
Captive Insurance Growing in Hawaii
By Tred R. Eyerly on
The Honolulu Advertiser reports that the Hawaii Department of Commerce and Consumer Affairs has issued ten licenses to new captive insurance companies, bringing the total of approved licenses to 212 since the industry was established in 1986.
Captive insurance is a type of self-insurance whereby a company establishes a separate, licensed …