A commentary on insurance coverage issues in Hawaii and beyond
Issues of fact surrounding the applicability of various exclusions prevented the insurer from securing summary judgment on claims for water damage. Babai v. Allstate Ins. Co., 2013 U.S. Dist. LEXIS 175336 (W.D. Wash. Dec. 13, 2013).
The insured noticed water damage to various areas of her home during remodeling. Allstate denied the…
The Wisconsin Court of Appeals found that a defense was owed to a farmer for pollution allegedly caused by use of manure. Wilson Mut. Ins. Co. v. Falk, 2013 Wis. App. LEXIS 1931(Wis. Ct. App. Dec. 11, 2013).
The insured used manure from cows as fertilizer for his fields. The state Department…
The Fifth Circuit affirmed the District Court's finding that a duty to defend was owed St. Bernard Parish after it was sued for condemning and demolishing housing destroyed by Hurricane Katrina. Lexington Ins. Co. v. St. Bernard Parish Gov't, 2013 U.S. App. LEXIS 24292 (5th Cir. Dec. 6, 2013).
St. Bernard's policies…
The federal district court in Hawaii determined a subcontractor had no coverage under his homeowner's and umbrella policies for claims based on faulty workmanship. State Farm Fire & Cas. Co. v. Kaaihue, 2013 U.S. Dist. LEXIS 175395 (D. Haw. Dec. 13, 2013).
Allstate Insurance Personal Lines pursued a subrogation claim in state…
The Illinois Court of Appeal found that an innocent law partner was entitled to coverage under the firm's malpractice policy despite misrepresentations made by another partner. Illinois State Bar Association Mutual Ins. Co. v. Law Office of Tuzzolino and Terpinas, 2013 Ill. App. LEXIS 816 (Ill. Ct. App. Nov. 22, 2013).
Tuzzolino…
The trial court's holding that there was no occurrence based on claims from faulty workmanship was reversed by the appellate division of the Pennsylvania Superior Court. The underlying claims were based on product liability tort claims, not faulty workmanship. Indalex Inc. v. National Union Fire Insurance Co. of Pittsburgh, PA., 2013 Pa. Super.
Following Kentucky law, the Sixth Circuit determined there was no coverage for a construction defect claim. Liberty Mut. Fire Ins. Co. v. Kay & Kay Contracting, LLC, 2013 U.S. App. LEXIS 23587 (6th Cir. Nov. 19, 2013).
Walmart hired a contractor to build a new store. The contractor hired Kay and Kay…
The Arkansas Supreme Court was asked a certified question by the federal district court: In determining the "actual cash value" of a covered loss, may the insurer depreciate the costs of labor when the term "actual cash value" is not defined in the policy? Adams v. Cameron Mut. Ins. Co., 2013 Ark. LEXIS…
The Delaware Superior Court found the insurer had a duty to indemnify the additional insured for settlement proceeds in a wrongful death suit. Premcor Ref. Group v. Matrix Serv. Indus. Contrs., 2013 Del. Super. LEXIS 517 (Del. Super. Ct. Nov. 18, 2013).
Premcor hired Pro-Tech to coordinate work at an oil refinery.
Here is a link to my recent article in the ABA Insurance Coverage Litigation Committee's Coverage Journal, September-October 2013, entitled, "Construction Defect Coverage in Hawaii – A Window to the Nationwide Debate."
