Reinsurance Law Blog

Reinsurance Law Blog

Tag Archives: occurrence

Homeowners policy did not cover privacy, negligence claims where there was no physical injury to person or property — 10th Circuit, Oklahoma law

Posted in Contractual Liability, Duty to Defend
In State Farm Fire v. Dawson, Dawson was sued for negligence and privacy violations after receiving inappropriate photos of an under aged student. Dawson wanted State Farm to pay his defense and any judgment.  But State Farm claimed there was no physical injury to tangible property and no bodily injury such that the policy did… Continue Reading

Criminal Acts exclusion did not apply to negligent conduct even if the conduct leads to a criminal conviction — Missouri

Posted in Contractual Liability, Insurance Bad Faith
In Pitt v. Leonberger, the Missouri Court of Appeals ruled that the criminal conduct exclusion did not apply. Leonberger, a school bus driver, struck and killed Pitts’ son.  The insurer, Missouri United School Insurance Council (MUSIC), accepted liability and even hired an attorney to represent Leonberger when a criminal charge of negligent homicide was filed against… Continue Reading

Fireworks explosion was one occurrence, affirming summary judgment — 4th Circuit, Pennsylvania law

Posted in Contractual Liability
Liability policy limits are usually based on occurrences, with a new limit applied to each occurrence and an annual limit on top of that.  (This may not apply in claims made policies  which are usually issued to professionals) As a result, insurance companies are often litigating whether an incident is one or multiple occurrences.  For… Continue Reading

Construction defect is not an “occurrence” or “accident” that triggers covered “property damage” within the meaning of a CGL policy – 7th Circuit, Illinois

Posted in Contractual Liability, Duty to Defend
In  Allied Prop. & Cas. Ins. Co. v. Metro N. Condo. Ass’n., Allied’s policyholder insured improperly installed windows on Metro’s property. Metro sued the insured for breach of the implied warranty of habitability. Metro and the insured entered into a settlement agreement assigning Metro the right to the insured’s insurance proceeds. Allied sought a declaratory… Continue Reading

Injury is either within the products completed work hazard or it isn’t — it cannot be both in order to increase limits. Alabama law

Posted in Contractual Liability
In Pharmacists Mutual Insurance Company v. Advanced Specialty Pharmacy, Advanced provided a tainted IV product which caused patient infections.  Pharmacists was Advanced’s insurer, and put $4 million into an interpleader fund to be divided among the claimants.  The claimants and Advanced claimed Pharmacists’ limits were $7 million and the trial court agreed on summary judgment. … Continue Reading

Employee dishonesty, non-cumulation provision, policy holder gets multiple years of coverage Oklahoma

Posted in Contractual Liability, New Case
In First United Methodist Church of Stillwater, Inc. v. Philadelphia Indemnity Insur. Co., 2016 OK CIV APP 59, First United’s finance manager embezzled nearly $200,000 between 2009 and 2012. First United gave notice to Philadelphia of the thefts in January 2013 that it discovered in December 2012. Philadelphia conducted an investigation and ultimately paid First United… Continue Reading

Shooting not covered by homeowners, umbrella or business policies E.D. Ark

Posted in Contractual Liability, Duty to Defend, New Case
In Travelers v. Wilson, 2016 WL 5334666, Wilson was insured under a homeowner’s policy, an umbrella policy, and a business policy.  But none of these policies provided coverage to Wilson when he shot Metcalf in the parking lot of his (Wilson’s) liquor store.  Wilson was convicted of 2nd Degree murder for the shooting.  Second degree… Continue Reading

Failure to Provide Expert Witness Report until Eve of Trial Warrants Exclusion – 8th Circuit, Minnesota

Posted in Insurance Bad Faith
In Amplatz v. Country Mut. Ins. Co., an insured sued her insurance company for property damage caused by hail, water and wind. The insurance company denied coverage of water damage to the interior because the water leaked inside due to the insured’s deferred maintenance. The insured obtained an expert witness report stating water leaked inside… Continue Reading

CGL Policy Excludes Damage to Insured’s Work Product; 8th Circuit, Iowa.

Posted in Contractual Liability, Duty to Defend
In Decker Plastics, Inc. v. W. Bend Mut. Ins. Co., the insurer denied coverage after its insured, Decker, was sued for damages caused by Decker’s defective plastic bags. West Bend argued the defective plastic bags did not constitute an “occurrence” under the policy. Judgment for the insured was proper because “occurrence” includes damages to property other than… Continue Reading

Failure to notify insurer of lawsuit filed after the application but before the policy issued results in rescission 8th Circuit, Iowa, Arkansas

Posted in Contractual Liability, New Case
In Capson Physicians Insurance Co v. MMIC Insurance Inc., Dr. Hasik changed his private medical practice from Arkansas to work in a hospital in Iowa. He got new professional liability insurance from Capson.  In addition, the hospital sought coverage for Dr. Hasik through its insurer, MMIC.  Most professional liability insurance is written on a claims… Continue Reading

Occurrence, Faulty Workmanship, Choice of law, Contractual liability exclusion, CGL policy; Oklahoma and Kentucky law

Posted in Duty to Defend, Insurance Bad Faith, New Case
In Kentucky Bluegrass Contracting, LLC v. Cincinnati Insurance Co., 2015 OK CIV APP 100, the trial court erred in finding that Kentucky law applied to the claim — but the error was harmless since the result was the same under either Oklahoma or Kentucky law.  Kentucky Bluegrass Contracting (KBC) did some electrical work at a… Continue Reading

Failure to defend, reserve rights, results in waiver and coverage, 7th Circuit, Illinois

Posted in New Case
“This case provides a warning for insurance companies who refuse to defend their insureds.” So begins the opinion in National American Insurance v. Artisan and Truckers Casualty.  Artisan insured Barengolts, a tractor trailer driver, who rear ended the Bernals.  The Bernals sued, and alleged various inconsistent claims regarding any agency relationship between and among the… Continue Reading

Auto exclusion for loading and unloading applied when Stairmaster fell and injured homeowner — Tenth Circuit, Colorado

Posted in Contractual Liability, Duty to Defend, New Case
In Landmark American v. VO Remarketing, Tibbe purchased a Stairmaster and arranged for its delivery.  Two VO employees were maneuvering the Stairmaster up the stairs to the second-story when they lost control of the machine, causing it to tumble down the stairs. Ms. Tibbe was standing below on the stairway, and was crushed by the… Continue Reading

Late notice, no prejudice, and ambiguous policy as to who is an insured, CGL policy 8th Circuit, Iowa law

Posted in Contractual Liability, Duty to Defend, New Case
In Michigan Millers Mutual Ins. v. Asoyia, Inc., Asoyia had a Commercial General Liability policy (CGL) with Michigan Millers. Asoyia produces soybean oil. One of Asoyia’s customers, Sunnyside Country Club, had a fire it attributed to Asoyia’s soybean oil, which spontaneously combusted while on rags at Sunnyside’s laundry. Michigan Millers claimed it had no duty… Continue Reading