Tag Archives: Co-Insurance

The Massachusetts Standard Fire Policy and the Innocent Co-Insured Doctrine

I wrote about Streit v. Metropolitan Casualty Insurance Company1 in a recent blogpost. In Streit, the Seventh Circuit Court of Appeals concluded that an insurance policy “intentional loss” exclusion which precluded innocent co-insureds from recovering for a fire loss was unenforceable because it violated the minimum level of protection afforded by the Illinois Standard Fire … Continue Reading

Insurance Agents and Determining Coverage Limits for Buildings

The above photograph depicts the panel I was on at the Florida Association of Insurance Agents Convention last week. It was a wonderful presentation moderated by a fantastic insurance educator, David Thompson. The workshops, myriad insurance vendors, and networking opportunities opened my eyes about a truly important association which dedicates itself to promoting professionalism by … Continue Reading

Innocent Coinsured Doctrine in New Jersey

One of the favorite tricks of insurance companied to avoid paying claims is to allege fraud by the insured. The fraud can be in the policy application, in causing the loss or in an alleged misrepresentation of the value of the loss. Even the slightest misstep by an insured can cause them to lose their … Continue Reading

Coinsurance: The Hidden Penalty

Yesterday, Sergio Leal wrote an excellent blog on the perils of being underinsured. This post follows-up by discussing a little known provision in most insurance policies calling for stiff penalties to be assessed against the policyholder that fails to have sufficient limits to replace the property in the event of a covered loss: the coinsurance … Continue Reading

What Are Coinsurance Clauses and Do Courts Enforce Them?

Many insurance policies contain coinsurance clauses which require policyholders to purchase an amount of insurance that accurately reflects the value of their insured property.   If less than a certain percentage of the accurate value is purchased, policyholders may not be able to fully recover in the event of a loss.. Coinsurance clauses can be confusing and often leave policyholders in distress. … Continue Reading

Insurance Agents and Brokers Should Be Concerned Writing Risks with 100 Percent Coinsurance to Avoid Error and Omission Claims

Coinsurance penalties are the last thing policyholders worry about following a loss. My experience has been that many field adjusters fortunately do not go through the costly calculations to accurately determine if a structure is underinsured. Thus, the penalties from being underinsured do not arise as often as they could.… Continue Reading

Is One Practical Answer to Many Coverage Disputes Involving Storm Surge Versus Wind to Raise National Flood Limits and Underwrite Insurance to Value Properly?

As we have seen with the Katrina and Wilma litigation, courts will enforce the anticoncurrent causation clause, standard in most all risk and wind insurance policies. Many who suffered total losses could not fully recover because they did not have adequate flood insurance. Generally, policyholders with insufficient flood coverage limits fall into three categories: Those … Continue Reading

Condominium Boards Especially Need To Insure To Value

The December issue of Florida Community Association Journal ran my article, "Directors and Officers Liability Coverage: What Every Board of Directors Member Needs to Know."  While I am certain that many think the only insurance law we practice is property insurance, our firm handles a variety of first and third party insurance coverage disputes and … Continue Reading