It is no secret that insurance adjusters will not hesitate to cite multiple policy provisions justifying a claim denial. I refer to this method as the “kitchen sink” approach, as it accurately describes the attempt to utilize every conceivable exclusion/condition remotely applicable in various insurance claims. It is quite common for an insured to receive a denial letter citing a laundry list of excluded causes of loss.
Continue Reading Denying Claims Based Off Conflicting Policy Provisions Violates Florida Law

Many people think the declarations page and subsequent coverage and exclusion sections make up the important part of an insurance policy. However, add-on forms known as “endorsements” or “riders” may be just as important as they have the ability to significantly change the policy, depending on their language. For example, an endorsement to an insurance contract can add, remove, or change the coverage in the policy. While these pages often come at the end of the contract, they should be read in conjunction with the declarations page and the entirety of the policy.
Continue Reading Reading the Fine Print of Add-On Forms in Policies – Catastrophe Area Notice Limitations and More

Insurance policies represent an interesting subset of contract law that relies on common law and specific statutes, namely those contained in Title 56 of the Tennessee Code Annotated. Lawsuits asking a question concerning the extent of insurance coverage under a specific policy is a question of law requiring the interpretation of contractual language.1 In fact, Tennessee courts have long agreed that “insurance policies are, at their core, contracts.”2
Continue Reading Tennessee Court Interpretation of Insurance Contracts

Abbott and Costello’s performance of the now classic “Who’s on first?” baseball sketch remains comedy gold.1 In addition to being outrageously hilarious, this comedy sketch highlights the significance of language and how specific words can be misconstrued. The ambiguity of words becomes more significant than baseball positions when applying the legal effect of those words, especially as applied to a property insurance policy, which may mean hundreds of thousands of dollars or even millions.
Continue Reading Who’s On First? Discerning Ambiguity in Insurance Policy Language

In keeping my promise made in my last blog post, When Words Collide: Policy Interpretation Doctrines and the 10 Commandments. Understand your Insurance Policy Better—RTFP!, I will continue to write new installments on the rest of Bill Wilson’s 10 Commandments for Policy Interpretation. This discussion is on another important insurance doctrine that should be known by anyone working within the insurance industry: contracts of adhesion.
Continue Reading When Words Collide: Insurance Policies as Contracts of Adhesion

Ejusdem generis is a Latin phrase that roughly translates as “of the same kind, class, or nature.” Its use is similar to that of noscitur a sociis,1 in that it usually involves a list of terms, but in this case one that ends in a catch-all category. Whether a particular object or event not specifically referenced in that list is subject to the exclusionary function of the listing depends on its similarity to the other items in the listing.2
Continue Reading What Is Ejusdem Generis and How Can it Help Clarify Ambiguous Policy Language If My Insurer Denies Coverage?