Despite barring the insured's expert witnesses from testifying as to the cause of the loss, lay witnesses were still available, making the district court's award of summary judgment to the insurer improper. Greater Hall Temple Church of God v. Southern Mut. Church Ins. Co., 2020 U.S. App. LEXIS 21934 (11th Cir. July
direct physical loss
Donations to Nonprofit Treated as Revenues for Business Interruption Calculations
By Tred R. Eyerly on
The court found that a nonprofit's donation receipts were included in its revenues for determining its business interruption claim. Alley Theatre v. Hanover Ins. Co., 2020 U.S Dist. LEXIS 52393 (S.D Tex. March 26, 2020).
Alley Theatre was closed due to Hurricane Harvey. It received donations after it was closed.
Is There Direct Physical Loss Under A Property Policy When Cornavirus is Present?
By Tred R. Eyerly on
Most property policies provide coverage for property damage only when there is "direct physical loss" to covered property. Early indications are that the coronavirus remains on surfaces. The duration can last from a few hours to three weeks, depending on the type of surface material. If an employee is infected and the store…
First Suit Filed for Losses Caused by COVID-19
By Tred R. Eyerly on
Last week, the first lawsuit was filed seeking insurance coverage for business-interruption due to losses caused by COVID-19. The case, Cajun Conti, LLC, et al. v. Certain Underwriters at Lloyd's of London, ,et al., was filed in Louisiana. A New Orleans restaurant, Oceana Grill," seeks a declaratory judgment that its "all risks" policy…
Coverage Established for Ransomware Attack
By Tred R. Eyerly on
The court found direct physical loss was established, allowing coverage for a ransomware attack on the insured's computer server and networked computers. Nat'l Ink & Stitch, LLC v. State Auto Prop. & Cas. Ins. Co., 2020 U.S. Dist. LEXIS 11411 (D. Md. Jan. 23, 2020).
The insured stored art, logos…
Insurer Must Pay for Matching Siding of Insured’s Buildings
By Tred R. Eyerly on
The Seventh Circuit found that the insurer was obligated to pay for siding of a building that was not damaged by hail so that it matched the replaced damaged portions of the siding. Windridge of Naperville Condominium Association v. Philadelphia Indem. Ins. Co., 2019 U.S. App. 23607 (7th Cir. Aug. 7, 2019). …