When the insured was sued for allegedly engaging in Medicare and Medicaid fraud, a defense was sought from the insurer. See Valley Forge Ins. Co. v. Zurich Am. Ins., 2010 U.S. App. LEXIS 17098 (10th Cir. Aug. 16, 2010). Once it was determined there was no duty to defend, was the insurer entitled
2010
Burden of Proving Damage Caused by Both Covered and Non-Covered Risks Addressed
By Tred R. Eyerly on
When both a covered risk and a non-covered risk cause some of the property damage, which party bears the burden of identifying the discrete items of property that were damaged and proving what portion of the damage was caused by a non-covered or excluded risk? See Bayle v. Allstate Ins. Co., 2010 U.S.
Mold Damage to Personal Property Covered
By Tred R. Eyerly on
Although the insurer contended the Texas Supreme Court had previously decided that mold was never covered under a homeowner's policy, the Court found coverage for mold damage to personal property in State Farm Lloyds v. Page, 2010 Tex. LEXIS 415 (Tex. June 22, 2010).
The insured discovered mold and water damage to…
New Damon Key Blog on Appellate Practice
By Tred R. Eyerly on
Be sure to check out my Damon Key colleague's, Rebecca Copeland, new blog on appellate practice here [http://recordonappeal.typepad.com]. Rebecca will highlight current cases, events and topics in the area of appellate law. Rebecca launches her new blog today.
Documented Prior Knowledge of Defect Eliminates Coverage
By Tred R. Eyerly on
Sorting out whether the contractor had coverage for alleged construction defects under the subcontractor's policies was the issue in Travelers Cas. and Sur. Co. v. Dormitory Auth., State of New York, 2010 U.S. Dist. LEXIS 79024 (S.D. N.Y. July 30, 2010).
Trataros Construction, Inc. was the general contractor on the project. Trataros contracted…
Anti-Concurrent Causation Clause Does Not Bar Excess Coverage
By Tred R. Eyerly on
The Fifth Circuit considered whether the district court properly determined that an excess policy covered flood, but that coverage was limited under the policy's anti-concurrent causation clause (post on district court's prior decision here). The appellate court reversed in part and remanded. Stewart Enter., Inc. v. RSUI Indem. Co., Inc., 2010 U.S. App. LEXIS 16555(5th…
Health Insurer Cannot Force Arbitration of Insured’s Tort Claims
By Tred R. Eyerly on
When sued by its insured, the health insurer sought to compel arbitration as part of the procedures under its policy for contesting a denial of coverage. In an opinion authored by newly seated Judge Ginoza, the Hawaii Intermediate Court of Appeals affirmed denial of the motion to compel because the insured's lawsuit was based on tort, not coverage…
Fifth Circuit Certifies Question to Louisiana Supreme Court on Assignment of Policies
By Tred R. Eyerly on
The Fifth Circuit asked the Louisiana Supreme Court whether a policy's anti-assignment clause prohibited post-loss assignments of policy rights. See In Re: Katrina Canal Breaches Litigation, 2010 U.S. App. LEXIS 15603 (5th Cir. July 28, 2010).
After Hurricanes Katrina and Rita, Louisiana distributed federal funds to homeowners under its "Road Home" program for repair…
We Make the Top 50 Insurance Blogs!
By Tred R. Eyerly on
On a typical day, we hope there are only a few insurance-related blogs out there in cyberspace. The less the competition, the greater the chance the reader will come our way.
But today, let there be multitudes of insurance blogs, layers and layers of them. Among the "hundreds" of insurance blogs out there…
Defense Owed Based on Underlying Pleadings and Insurer’s Lack of Evidence
By Tred R. Eyerly on
Whether the insurer can escape the duty to defend based on allegations in its complaint for declaratory relief was the issue in General Ins. Co. of Am. v. Clark Mall Corp., 2010 U.S. Dist. LEXIS 74880 (N.D. Ill. July 26, 2010).
The underlying plaintiffs lost property in a fire at a mall owned by the insureds. The…