4/8/21
By: Kevin G. Kenneally, Esq. and William E. Gildea, Esq. The embattled NY Governor Andrew Cuomo backtracked on his signature pandemic legislation that recently unraveled and marred his reputation, as allegations of cronyism and endangering the state’s most vulnerable elderly population were widely reported. This repeal follows disclosure of investigations into the Cuomo administration’s directive…
Texas’ Perfect Storm May Result In Largest Insured Loss In Texas History
4/8/21
By: Ken Coronel Texas residents are still recovering from the extreme winter storm which left the state reeling from days of widespread blackouts, water shortages, millions left in the dark, and business closures. From the standpoint of the carriers writing in the state, the second-largest property insurance market among U.S. states, this was the “perfect…
3/31/21
By: Isis Miranda “If you take a rock and throw it through a window, then you don’t get coverage for [the] costs of fixing it.” An attorney representing one of the nearly 30 insurance companies being sued by Duke Energy in North Carolina reportedly made this statement in characterizing Duke’s attempt to seek reimbursement for…
3/26/21
By: Barry Miller Notice provisions in claims-made policies are not subject to the notice-prejudice rule, according to a Kentucky decision applying the Restatement of the Law of Liability Insurance (“Restatement”). Kentucky State University tendered a claim under its professional liability policy after two former employees alleged improper termination. The insurer denied coverage because the University…
Insuring Cryptocurrency: Where Insurers Fear to Tread
3/10/21
By: Alexia Roney When Janet Yellen, U.S. Treasury Secretary, called Bitcoin “extremely volatile” on February 22, 2021, the market proved her point as the cryptocurrency dropped a sixth of its value the next day. Yet, the cryptocurrency market, now worth nearly a trillion dollars, will continue to draw in the investors. So, is there insurance…
2/8/21
By: Lee Whatling Last month, the Supreme Court of the United Kingdom clarified the applicability of 21 sample insurance policy wordings to business interruption losses resulting from the COVID-19 pandemic and actions taken by UK public authorities in response to the crisis. One of those policies covered: losses resulting solely and directly from an interruption…
Mutual Mistake In Naming The Insured?
1/29/21
By: William Gildea In a case pending in the United States District Court for the Southern District of Florida, a company not named in an insurance policy is nevertheless demanding coverage based on a claim of mutual mistake over the “named insured” in the policy. Hallmark Spec. Ins. Co. v. Lion Heart Surgical Supply, LLC,…
Northern District of Georgia Finds Waiver of Coverage Defenses Not Specified in Denial Letter
1/13/21
By: Kristin Ingulsrud In Hoover v. Maxum Indemnity Co., the Supreme Court of Georgia held that an insurer had waived a defense by failing to raise it in its initial letter denying the claim. The standard applied by the court in Hoover is that an insurer responding to a Georgia policyholder’s claim must (1) afford coverage;…
California Assembly Bill 1552 – Near Miss or Cautionary Tale for Insurers?
11/11/20
By: Ryan Greenspan As fear of the novel coronavirus and COVID-19 continues to grip the world, an array of government rules, restrictions, and guidelines have been imposed. Some businesses have been operating at a limited capacity and some have closed outright. In March of this year, California’s governor issued one of the strictest orders in the…
No Entry Without a Mask: Coverage for Discrimination?
10/26/20
By: Mallory Ball More businesses are requiring masks or face coverings to protect their patrons and employees from COVID-19. Unfortunately, with the face-covering requirements, businesses are vulnerable to liability claims from patrons alleging they have been discriminated against by requiring them to wear a face covering. The allegations of discrimination may also include humiliation or mental injury…
FMG Attorneys Assist Prevailing Insurer in a COVID-19 Business Loss Claim
10/8/20
FMG attorneys Phil Savrin and Shawn Bingham secured a favorable outcome for Allied Insurance Company of America who was sued for rejecting a claim for lost business income after the insured shuttered its restaurant during the COVID-19 pandemic. The insured, a Cajun restaurant in the Atlanta area, decided to close its dining room after the governor issued an Executive Order…
8/28/20
By: David Slocum In the months since the COVID-19 pandemic began, thousands of claims and lawsuits have been initiated by businessowners seeking coverage for alleged property damage and business losses based on the impact to their businesses. From restaurant owners, to magazine publishers, to minor league baseball teams, a wide range of businesses argue business…