A commentary on insurance coverage issues in Hawaii and beyond
Following recent Fifth Circuit precedent, the federal district court ruled that the assignment made after the loss without the insurers consent was invalid. See Nautilus Ins. Co. v. Concierge Care Nursing Centers, Inc., 2010 U.S. Dist. LEXIS 136842 (S. D. Tex. Dec 28, 2010).
In 1999, Brae Burn Construction Company Inc. entered into…
In a prior post, we noted the Indiana Supreme Court held that the CGL policy covers damage to a home structure resulting from shoddy subcontractor work unless the subcontractor work was intentionally faulty. See Sheehan Constr. Co. v. Cont'l Cas. Co., 935 N.E. 2d 160 (Ind. 2010). In a subsequent construction defect…
Where the insured faces environmental suits in several states, should the law governing the liability policy be "site-specific," meaning the law of each state in which allegations of injury or property damage arise governs the policy's interpretation, or "uniform," whereby a single state's law governs? In Nat'l Union Fire Ins. Co. of Pittsburgh, Pa. v. Standard Fusee Corp…
In this multi-district litigation, the court considered the insurers' motions to dismiss plaintiffs' suits for alleged property damage caused by Chinese drywall. In Re: Chinese Manufacture Drywall Products Liability Litigation, 2010 U.S. Dist. LEXIS 133497 (E.D. La. Dec. 16, 2010). After determining there was coverage, the court considered several exclusions and the ensuing loss provisions…
United States Supreme Court Justice Samuel Alito will participate in the University of Hawaii law school's Jurists-in-Residence Program the week of January 24, 2011. In honor Justice Alito's visit, we offer a sampling of insurance coverage decisions he has authored.
We did not locate any insurance coverage opinions Justice Alito has written while serving…
Today's Honolulu Star-Advertiser reports state officials are concerned that Oahu residents eligible for cheaper flood policy rates based upon updated federal flood maps may miss a deadline looming on Wednesday, January 19, 2010. Failing to respond by Wednesday could mean having to pay $5700 a year for flood insurance instead of $350 a year. …
If an indemnity agreement is never triggered, is the agreement still an "insured contract" under a CGL policy? The court in Cheramie v. ERA Helicopters, LLC, 2010 U.S.Dist. LEXIS 128611 (E.D. La. Dec. 3, 2010) answered yes.
Dodi Cheramie, an employee of Professional Cleaning Maintenance Services, LLC ("PCMS"), sued ERA when she…
The Archdiocese sought coverage under its CGL policy for allegations of sexual abuse committed by its former priests. Because the underlying complaints alleged volitional acts rather than accidental occurrences, the court determined there was no coverage. See Doe v. Archdiocese of Milwaukee, 2010 WISC. App. LEXIS 954 (Wis. Ct. App. Nov. 23, 2010).…
When property damage manifests before the policy period, but continues over time and overlaps the CGL's policy period, does the policy provide coverage? Applying Florida law, the U.S. District Court determined that under the manifestation trigger, there was no coverage. See Amerisure Ins. Co. v. Albanese Popkin The Oaks Development Group, L.P., 2010 U.S. Dist.
In Wilson v. AIG, 89 Haw. 45, 968 P.2d 647 (1998), the Hawaii Supreme Court held that an insured was not the real party in interest to challenge its auto insurer's refusal to pay benefits to the insured's medical provider. The issue before the Hawaii Intermediate Court of Appeal was whether the legislature had overruled the Supreme Court…
