President Bush signed today H.R. 2761, the Terrorism Risk Insurance Program Reauthorization Act of 2007, preventing the expiration of the Act on December 31, 2007, and extending the federal insurance program for seven years. The Act extends coverage to catastrophic acts of not only foreign terrorism but also domestic terrorism.
White House Mulls Over Extension of Terrorist Risk Insurance Act
In our continuing coverage of Congress’ rush to beat the December 31, 2007 expiration date of the 2002 Terrorist Risk Insurance Act, we note the House on Tuesday bowed to pressure from the Senate and the White House to pass a less ambitious extension of the Act than it had previously passed. Earlier
Fifth Circuit Enforces Anti-Concurrent Causation Clause to Exclude Damage Caused by Flood
Coverage of wind and flood damage under homeowners’ policies in the aftermath of Hurricane Katrina has been a hot topic of litigation. Because Hawaii is also prone to wind and flood damage, cases addressing coverage under homeowners’ policies has relevance here.
A recent case from the Fifth Circuit Court of Appeals,
Federal Court Determines Hawaii Law Supports Reimbursement of Defense Costs Where No Duty to Defend
In February, 2006, Federal District Court Judge Helen Gillmor granted the insurer’s Motion for Partial Summary Judgment, determining there was no duty to defend. Scottdale Ins. Co. v. Sullivan Properties, Inc., 2006 U.S. Dist. LEXIS 11582 (D. Haw., Feb. 27, 2006). The decision invited Scottsdale move for reimbursement of defense costs.
Attorneys’ Fees and Bad Faith
Practitioners have noticed, and have been puzzled by, a schism in the Supreme Court of Hawai`i’s rulings on attorneys’ fees in bad faith actions. At least one case held that a bad faith action was in the nature of assumpsit and, thus, awarded fees to the insurer from the insured. Six months later, another case
Homeowner’s Policy Limits Coverage for Additional Insureds to Vicarious Liability
In Garcia v. Federal Ins. Co., Case No. SC06-2524 (Fla., Oct. 25, 2007), the Florida Supreme Court recently analyzed certified questions from the Eleventh Circuit regarding coverage for an additional insured under a homeowner’s policy. The issue was whether the policy’s coverage of the additional insured was limited to vicarious liability for
House Passes Bill Extending Terrorism Risk Insurance Act
Last week, we reported Congress was considering extending the Terrorism Risk Insurance Act of 2002, set to expire on December 31, 2007. Today, the House approved a bill 303-116 to extend the Act and expand coverage despite the threat of a presidential veto. While the Senate bill merely extends the existing program for
Climate Change Study Recommends That Insurers Take Active Role
Given the heavy rain and 60-mile an hour winds that descended on Hawaii this past week, a recently issued report on climate change by the Organization for Economic Co-operation and Development seems particularly timely.
The study seeks to help policy makers determine where to focus adaptation strategies to climate extremes and
Attorneys’ Fees in Coverage Actions
A quiet debate on whether an insurer is entitled to an award of attorneys’ fees in coverage actions is closer to resolution. The argument generally focuses on what statute is applicable: Haw. Rev. Stat. § 607-14 (1993) (which mandates fees to be paid by the losing party in assumpsit actions) or Haw. Rev.
Attorneys’ Fees in Coverage Actions
A quiet debate on whether an insurer is entitled to an award of attorneys’ fees in coverage actions is closer to resolution. The argument generally focuses on what statute is applicable: Haw. Rev. Stat. § 607-14 (1993) (which mandates fees to be paid by the losing party in assumpsit actions) or Haw.