Finally weighing in on whether the presence of COVID-19 constitutes direct physical loss or damage to property, the California Supreme Court answered a certified question from the Ninth Circuit by determining there was no coverage under California law. Another Planet Entertainment, LLC v. Vigilant Ins. Co., 2024 Cal. LEXIS 2738 (Cal.
Ninth Circuit Affirms No Coverage in Dispute Over Salvage of Sunken Ship
The Ninth Circuit affirmed the district court's decision that the insured was not covered for a dispute over the salvage of a sunken ship. Great American Ins. Co. v. May, 2024 US App. LEXIS 10137 (9th Cir. April 26, 2024).
MK Salvage Ventures LLC (MK) attempted to recover lost treasure
Insurer’s Motion to Dismiss “Redundant Claims” Denied
The insurer's motion to dismiss was more appropriate for an eventual summary judgment motion and was consequently denied. Sivan Lam v. Scottsdale Ins. Co., 2024 U.S. Dist. LEXIS 81262 (M.D. Fla. April 12, 2024).
Lam suffered a loss to her home due to Hurricane Ian. When only a portion of
Insurer’s Refusal to Consider Supplemental Claim Found Improper
The Eleventy Circuit reversed the district court's finding that the insurer had properly rejected the insured's supplemental claim. Great Lakes Ins. SE v. Concourse Plaza A Condomiium Association, Inc., 2024 U.S. App. LEXIS 8958 (11th Cir. April 15, 2024).
On September 10, 2017, Hurrican Irma struck Concourse Plaza's building, causing
Sixth Circuit Predicts Michigan Allows Reimbursement of Defense Costs to Insurer
The Sixth Circuit affirmed the district court in finding that the insurer who reserved rights was entitled to reimbursement for uncovered claims. Great Am. Fid. Ins. Co. v. Stout Rises Ross, Inc., 2024 U.S App, LEXIS 8576 (6th Cir. April 8, 2024).
Stout Rises Ross, Inc. was sued in two
Res Judicata Bars Insured from Challenging Insurer’s Use of Schedule to Deduct Depreciation from the Loss
The insured was barred by res judicata from filing a second lawsuit challenging the insurer's method of establishing the amount of the loss. Burke v. GeoVera Spec. Ins. Co., 2024 U.S. App. LEXIS 9186 (5th Cir, April 16, 2024).
On August 29, 2021, Hurricane Ida caused wind damage to the
Only A Few Insurance-Related Bills Enacted By The Hawaii Legislature
Several insurance-related bills were introduced by the Hawaii Legislature, but only a few were passed before the session ended on May 3, 2024. Here are the bills that were passed by the Legislature and sent to the Governor for signature.
HB 1686 – Increases the reimbursement rate for chiropractic treatments for
Excess Policy Not Triggered Despite Dissolution of Primary Carrier
The excess carrier did to have to contribute to the defense and indemnity of the insureds because the dissolution of one of the primary carriers meant full exhaustion had not been accomplished. Continental Cas. Co., et al. v. Argonaut Ins. Co., et al., 331 Ore. App. 26 (Or. Ct. App. 2024).
Coverage for Fire Loss Denied Based on Inaccurate Application for Insurance
The Ninth Circuit affirmed the District Court's granting summary judgment to two insurers who denied coverage based upon inaccurate insurance applications. Hughes v. First National Insurance Company of America, 2024 U.S. App. LEXIS 6609 (9th Cir. March 20, 2024).
Plaintiff submitted a claim to First National Insurance Company of America
Insurer’s Motion for Summary Judgment on Faulty Workmanship Denied
The court found that the insurer failed to meet its burden on summary judgment seeking a judgment that faulty workmanship precluded coverge. Auto-Owners Ins., Co. v. AAA Discount Homes, LLC, 2024 U.S. Dist. LEXIS 48463 (S.D. Ga. March 19, 2024).
Heather Way sued AAA Discount Homes, LLC and Delta Transport