In Somnus Mattress Corp. v. Hilson, No. 1170250, 2018 WL 6715777 (Ala. Dec. 21, 2018) the Court found that the insurance agent and broker in that case had no duty to advise the insured of the adequacy of its insurance coverage. The allegation that the agent made...
Year: 2019
UNDER ILLINOIS LAW, SUIT AGAINST AGENT FOR NEGLIGENT FAILURE TO PROCURE COVERAGE BEGAN TO RUN WHEN THE INSURED RECEIVED THE INSURANCE POLICY
In a split decision, the Illinois Supreme Court in Am. Family Mut. Ins. Co. v. Krop, 2018 IL 122556, 120 N.E.3d 982, reh'g denied (Nov. 26, 2018) held that in a negligent failure to procure lawsuit against an insurance agent, the applicable statute of limitations...
SOUTH CAROLINA SUPREME COURT INVALIDATES PIP SETOFFS
In Cothran v. State Farm Mutual Auto Insurance Co., 2019 WL 3683591 (S.C. 8/2/19) the Colorado Supreme Court invalidated a PIP provision in State Farm's policy which attempted to coordinate its benefit with workers compensation benefits. The Court held that South...
ILLINOIS COURT WEIGHS IN ON MATCHING ISSUE FOR PURPOSES OF APPLYING PROPERTY DAMAGE COVERAGE
In Windridge of Naperville Condo Ass'n v. Philadelphia Indemnity Ins. Co., __ F.3d __,2019 WL 3720876 (7th Cir. 8/7/19), a condominium association sought replacement cost property coverage for a direct physical loss to its "buildings or structures" which included...
ATTORNEYS FEES AWARDED TO A PREVAILING PARTY WERE DETERMINED TO NOT BE SUPPLEMENTAL PAYMENTS UNDER A LIABILITY POLICY ACCORDING TO A MASSACHUSETTS APPELLATE COURT
In Styller v. National Fire & Marine Ins. Co., 95 Mass. App. Ct. 538, 128 N.E.3d 612 (2019) the Massachusetts Courts of Appeals held that a prevailing party's attorneys' fees did not constitute "costs taxed" against the insured within the meaning of the liability...
THE COLORADO SUPREME COURT HOLDS THAT INSURANCE COMPANY SUBROGATION ACTIONS ARE NOT SUBJECT TO COLORADO’S FAIR DEBT COLLECTION PRACTICES ACT
In Ybarra v. Greenberg & Sada, P.C., 2018 CO 81, 429 P.3d 839, reh'g denied (Nov. 19, 2018), the high court rejected a claim that the lawyers hired by the insurance company to pursue a subrogation action violated Colorado's Fair Debt Collection Practices Act. The...
INSUREDS ARE REQUIRED TO READ THE INSURANCE POLICY UNDER ARKANSAS LAW
The 8th Circuit Court of Appeals in Hatcher v. MDOW Insurance Co., 903 F.3d 724 (8th Cir. 2018) interpreting Arkansas law held the insurance company which had provided its homeowner insured with multiple policy renewal letters advising the insured to review the...
UNINSURED MOTORIST SETTLEMENT DOES NOT REQUIRE PAYMENT OF INTEREST UNDER COLORADO LAW
The Colorado Supreme Court in Munoz v. American Family Mutual Insurance Co., 425 P.3d 1128 (Colo. 2018) rejected an insured's claim for prejudgment interest on an uninsured motorist settlement. In rejecting the prejudgment interest the Colorado Court looked at...
TEXAS COURT OF APPEALS FINDS THAT INSURANCE COMPANY’S PAYING TIMELY TENDER OF FULL AMOUNT OF APPRAISAL AWARD PREVENTED INSURED’S RECOVERY UNDER TEXAS’ PROMPT PAYMENT OF CLAIMS STATUTE
In Marchbanks v. Liberty Ins. Corp., 558 S.W.3d 308 (Tex. App. 2018), the Texas Court of Appeals held that insureds could not recover for violations of Texas' Prompt Payment of Claims Act (Tex. Ins. Co. Ann. §542.051 et seq. (West 2013) for any type of underpayment of...
OHIO COURT FINDS THAT PHYSICIAN’S SEXUAL RELATIONSHIP WITH A PATIENT DID NOT CONSTITUTE MEDICAL MALPRACTICE
In Beattie v. McCoy, 2018-Ohio-2535, 115 N.E.3d 867, the Court held that professional liability policies did not cover medical malpractice actions arising from a physician's sexual relationship with a patient. The policy in question provided coverage for defined...