You searched for florida - Page 3 of 10 - The Insurance & Reinsurance Report

February 15, 2010 Policy Conditions, Considerations, Construction, and Formation

Florida Court Of Appeals Denied Summary Judgment In Favor of Insurer And Remanded Breach Of Contract Claim Where Issues Of Fact Existed Whether Post-Suit Payment of Proceeds Constituted “Confession of Judgment” On Part Of The Insurer

Clifton v. United Casualty Ins. Co.

(Florida Court of Appeal, Second District, February 12, 2010)

The policyholder appealed final judgment entered in favor of the insurer in a breach of contract action arising out of damage suffered during Hurricane Charley. The primary issue involved whether an insurer’s post-suit payment of additional policy proceeds constitutes a “confession of judgment” and whether the filing of the suit acted as a “necessary catalyst” to resolve the dispute.

Specifically, in August 2004, the policyholder’s residence was damaged …

February 2, 2010 Uncategorized

Supreme Court Of Florida Held That Unsolicited “Blast-Faxing” Of Advertisements In Violation Of The Telephone Consumer Protection Act Is Covered Under A Commercial Liability Policy’s Advertising Injury Provision.

Penzer v. Transportation Ins. Co.

(Supreme Court of Florida, January 28, 2010)

This matter involved a certified question of Florida law submitted by the United States Court Of Appeals for the Eleventh Circuit concerning whether under Florida law, the sending of an unsolicited advertisement by fax, in violation of the federal Telephone Consumer Protection Act (“TCPA”) 47 USCA §277 (2001) is covered by a particular insurance policy provision. Specifically, the certified question stated, “Does a commercial liability policy which provides coverage for ‘advertising …

January 23, 2020 General

Ohio Supreme Court Holds Insurers Not Responsible for Charging Liens

The Ohio Supreme Court held that an insurer who settles a personal injury claim with an accident victim has no duty to issue payment directly to the victim’s former lawyer pursuant to a charging lien.[1]

In the underlying personal injury matter, an automobile accident victim hired a law firm to represent him. The victim and his law firm entered into a contract that granted the law firm a charging lien on the proceeds of any insurance payment, settlement, judgment, or verdict that might be …

December 16, 2019 General / Uncategorized

Failure to Issue a Reservation of Rights, and to Address an Insured’s Affirmative Defenses in a Coverage Dispute, May Preclude Denial of an Otherwise Excluded Claim

A recent Florida state court opinion emphasizes the importance of an insurer’s obligations in the event of a liability claim against an insured and a subsequent coverage dispute with that insured.

In Hurchalla v. Homeowners Choice Property & Casualty Insurance Company, the insured was sued for tortious interference with business contracts. Although her liability policy did not insure against intentional acts, the insurer initially provided the insured with a defense. However, the insurer neglected to inform the insured that the defense was being provided …

November 13, 2019 General / Uncategorized

Consent Judgments are not Excess Judgments: The Eleventh Circuit Emphasizes the Excess Judgment Rule in Context of Bad Faith

As a general rule, Florida law imposes a duty of good faith on insurers to defend claims against insureds and to settle those claims where a reasonably prudent person, faced with the prospect of paying the total recovery, would do so. An insured may, rightly or wrongly, claim an insurer’s conduct in handling a claim falls short of that standard of care. But a claim for bad faith will not accrue until the alleged claims handling results in liability that exceeds the limits of the …

October 29, 2019 General / Uncategorized

Federal Court Crusades for Serial Comma, Holds No Coverage for Inflatable Beach Ball

When a festival-goer is injured by a flying beach ball, does a general liability insurer have to pay for any ensuing loss? Is the serial comma (sometimes referred to as the Oxford comma) dead? Both questions were addressed by a Florida federal court when deciding who was responsible to pay for a party foul.

In May 2018, Robert Hunt brought a lawsuit seeking compensation for injuries he sustained while attending a festival called Rum Fest 2017. During the event, while a crowd listened to …

July 31, 2019 Uncategorized

Eleventh Circuit Holds that Referencing Sealed Documents is Not Proper Notice

The Eleventh Circuit upheld a win for the insurer under a claims-made-and-reported policy in Crowley Mar. Corp. v. Nat’l Union Fire Ins. Co. of Pittsburgh, PA, No. 18-10953, 2019 WL 3294003 (11th Cir. July 23, 2019), finding that the insured did not provide timely notice. In so holding, the court rejected the insured’s argument that it provided timely notice by sending a letter to the insurer referencing an affidavit which the insured claimed alleged wrongful conduct against the insured, but was sealed, preventing the insurer from confirming the insured’s claim for coverage.

At issue …

June 5, 2019 Fraud

Eleventh Circuit Holds Unlicensed Professional Was Not Engaging In “Professional Services”

The courts frequently apply insuring agreements broadly. However, in a recent decision, a court narrowly applied the definition of “professional services” to restrict coverage. Specifically, in Chapman v. Ace American Insurance Company, the Eleventh Circuit determined the services provided by an individual holding himself out as a counselor did not constitute “professional services.”

The underlying lawsuit concerned Mark and Barbara Chapman’s ten-year old son who was diagnosed with ADHD and had a history of behavioral problems. The Chapman family engaged the services of …

April 9, 2019 Duty to Defend

Eleventh Circuit: When an Insurer Has a Duty to Defend, Its Duty to Indemnify Is Not Ripe Until Resolution of the Underlying Lawsuit

With limited exception, an insurer that owes a duty to defend to its insured cannot litigate whether it also has a duty to indemnify the insured for the same matter until after the insured’s liability has been resolved. In a unanimous decision, the U.S. Court of Appeals for the Eleventh Circuit, applying Florida law, affirmed this principle and held that an insurer’s duty to indemnify is not justiciable until the insured’s liability has been adjudicated in the underlying case. Mid-Continent Cas. Co. v. Delacruz Drywall …

January 8, 2019 Bad Faith and Extra-Contractual Liability

Dismiss or Abate? The Eleventh Circuit Dismisses Bad Faith Allegations in Breach of Insurance Contract Actions

The longstanding debate in Florida’s state courts as to whether bad faith allegations can remain in a pending breach of insurance contract case, or whether they must be dismissed pending the outcome of the coverage dispute, has now reached the federal courts.

In Aligned Bayshore Holdings, LLC v. Westchester Surplus Lines Ins. Co., 2018 WL 6448632, Case No. 18-21692-Civ-Scola (S.D. Fla. Dec. 10, 2018), the insured sustained losses due to Hurricane Irma and submitted a claim to its insurer, which did not promptly pay …