Massachusetts’ highest court holds that the Massachusetts standard auto policy covers third-party claims for inherent diminished value to repaired vehicles
By: R. Victoria Fuller & Ryan Giggi
In McGilloway v. Safety Ins. Co., the Supreme Judicial Court followed other jurisdictions in holding that part 4 of the standard Massachusetts automobile insurance policy provides coverage for third-party claims for the …
Greater protections against wildfires are on the way
By: Matthew Jones
The California Insurance Commissioner recently proposed a plan titled the California Fair Access to Insurance Requirements Plan (“FAIR Plan”) to help ease the burden of homeowners in areas threatened by wildfires. The recent large wildfires throughout the …
COVID-19 business interruption claims: Virus jurisprudence is no longer novel
By: Joseph Gonnella
Policyholders utilize a variety of wordings to describe their insurance coverage claims arising during the SARS-CoV-2 (“COVID-19”) pandemic. Under the insuring clauses of common commercial property policies, one of the relevant inquiries is whether COVID-19 causes “direct …
U.S.D.C. for the District of New Jersey rules in favor of insurer’s motion for judgment on the pleadings in yet another COVID-19 related loss of business income claim
By: Nicholas J. Hubner
In Blue Devil LLC v. Ace Prop. & Cas. Ins. Co., No. 1:20-cv-12480, 2021 U.S. Dist. LEXIS 166886, (D.N.J. Sep. 2, 2021), plaintiffs, comprised of seven related LLCs, brought seven breach of contract claims (one …
New York “bad faith” bill seeks to expand recovery for insureds and third parties
By: Christopher Donnelly
In 2020, the New York State Assembly and Senate each proposed bills which sought to expand a policyholder’s ability to seek recovery from its insurer via claims for unfair settlement practices or “bad faith” claims.
The proposed bills, A5623B and S06216A …
After the fact wishes are not enough to change before the fact choices
By: Matt Boyer
The Eleventh Circuit declines to find that a policy’s coverage is illusory simply because the policy does not cover the damages the insured wants it to cover
On August 26, 2021, the Eleventh Circuit Court of …
Insurer prevails in first federal appellate decision addressing business interruption coverage due to COVID-19
By: William H. Buechner, Jr.
The Eighth Circuit recently issued the first federal appellate decision regarding a claim asserting business interruption coverage because of COVID-19. In Oral Surgeons, P.C. v. The Cincinnati Ins. Co., 2021 U.S. App. LEXIS 19775 (8th Cir. …
No liability for property owners under Georgia’s Gang Act
By: Rachael Slimmon
On June 21, 2021, the Georgia Supreme Court addressed whether a property owner can be held liable for damages arising from a nuisance claim under the Georgia Street Gang Terrorism and Prevention Act. Star Residential, LLC et …
Update: Does what happens in mediation stay in mediation?
By: Barry Miller
Last August, FMG reported on Mosely v. Arch Specialty Fire Insurance, a case from the Court of Appeals of Kentucky that said courts cannot use an insurer’s conduct at mediation as evidence in a subsequent bad …
During Hurricane Season, Rains Come Down and Claims Handling Ramps Up
By: Justin Boron
With the dog days of summer here and Hurricane Elsa bearing down on parts of the Gulf Coast, it’s worth a reminder that hurricanes precipitate—in addition to other weather phenomena—insurance claims.
The claims handling insurance laws as …
Should I Stay or Should I Go?
By: Richard Smith
If I go there may be trouble, but if I stay it will be double…
These lyrics from the 80’s song by The Clash does a fairly nice job describing the dilemma that an insurance defense lawyer …
Supreme Court of Georgia Rewards Bad Behavior While Increasing The Exposure To Insurers for Failing to Settle Within Policy Limits
By: Phil Savrin
The Supreme Court of Georgia has dealt a severe blow to an insurance company’s ability to require advance notice of a lawsuit against its insured before being exposed to extra-contractual liability for the full amount of the …