On October 16, 2009, in a lawsuit brought by owners of property along the Mississippi Gulf coast that sustained damage from Hurricane Katrina, the U.S. Court of Appeals for the Fifth Circuit held that the plaintiffs have standing to assert public and private nuisance, trespass and negligence claims against the defendants who caused the emission of greenhouse gases which are alleged to have ultimately added to the ferocity of Hurricane Katrina. read more
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Recently, Judge Stanwood Duval, Jr. of the U.S. District Court of the Eastern District of Louisiana, found the U.S. Army Corps of Engineers liable for damages resulting from Hurricane Katrina-related flooding that occurred in certain areas outside of New Orleans. read more
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On October 8, 2009, the Mississippi Supreme Court issued its highly anticipated decision in Corban v. USAA Insurance Company, holding that the anti-concurrent causation ("ACC") clause in a homeowners’ insurance policy is inapplicable where both wind and water did not act in conjunction in causing Katrina-related damages. read more
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On July 21, 2009, Judy and Michael Kodrin filed a petition for a writ of certiorari in the U.S. Supreme Court, asking the Supreme Court to review a Fifth Circuit decision vacating that portion of a Katrina-related judgment that awarded them penalties, damages and attorneys’ fees based on their homeowners insurer’s alleged bad faith. read more
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In an unpublished two page decision filed August 11, 2009, the United States Court of Appeals for the Fifth Circuit upheld a $21.6 million jury verdict in favor of a New Orleans grocer with approximately $1 million in bad faith damages. read more
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On July 9, 2009, a Texas federal court awarded in excess of $5.5 million in damages to an insured under a second-layer excess insurance policy, for claims arising out of Hurricane Katrina related damage. One of the main issues in contention was whether the second-layer excess insurer’s liability attached even if the underlying insurers had paid out their full limits of liability because they did not correctly determine coverage. read more
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A state appellate court in Louisiana recently increased a trial court’s award against an insurer in connection with a Hurricane Katrina-related bad faith claim, finding that the trial court had misinterpreted the statutory penalties available to the plaintiff. read more
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On June 9, 2009, oral arguments took place in Corban v. USAA Insurance Company, the first Katrina wind v. water insurance dispute heard by the Mississippi Supreme Court. read more
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On June 16, 2009, U.S. District Court Judge Stanwood R. Duval Jr. granted a request by insurers to strike class allegations asserted in In re Katrina Canal Breaches Consolidated Litigation ( click here for a copy of the Order). Judge Duval reasoned that the claims required individualized fact-specific inquiries which made them inappropriate for class certification. read more
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Last month, a federal district court in Alabama ruled, as a matter of first impression that, under Alabama law, a litigant seeking to pursue an insurance bad faith claim against an insurer must have a direct contractual relationship with that insurer. read more
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The trial involving claims that the U.S. Army Corps of Engineers was negligent in its maintenance of the Mississippi River Gulf Outlet (MRGO), which we discussed here, concluded on May 14, 2009. Judge Stanwood Duval, Jr. of the United States District Court, Eastern District of Louisiana, is expected to issue his ruling this summer in this non-jury trial. read more
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Last week, the New Jersey Senate Commerce Committee began its review of the New Jersey Consumer Catastrophe Preparedness and Protection Act, S. 2089 (the “Bill”), by hearing testimony from representatives of the insurance industry and first responders. We previously reported about a version of the Bill that was introduced last year, but was never enacted. read more
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A trial involving claims that the U.S. Army Corps of Engineers was negligent in its maintenance of the Mississippi River Gulf Outlet began recently in Louisiana federal court. (for a prior blog post regarding these claims, please click here). The non-jury trial, in which Judge Stanwood Duval, Jr. will preside, is expected to last approximately four weeks. read more
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United States Senator Bill Nelson (D-FL) introduced a bill last week to provide a guarantee for the Florida Hurricane Catastrophe Fund from the Federal Reserve. The legislation would also provide federal guarantees for the catastrophe funds in Texas and Louisiana and the earthquake insurance pool in California (the “Cat Funds”). read more
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As reported here, here, and here, Florida legislators and insurance regulators actively are seeking to shed some of the state’s hurricane risk and to strengthen the financial condition of the Florida Hurricane Catastrophe Fund (the “Fund”). As reported here, the Fund, which was established after Hurricane Andrew, provides reinsurance coverage for residential property insurers in Florida in the event of major windstorm events. read more
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On April 8, the New York Insurance Department (the “NYID”) introduced proposed Regulation 189, which would require authorized property/casualty insurers to establish reserve funds for payment of losses that occur in New York arising out of natural catastrophes. read more
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The United States Court of Appeals for the Fifth Circuit recently vacated a portion of a November 2007 ruling against State Farm Fire and Casualty Company, in which plaintiffs Judy and Michael Kodrin were awarded damages arising out of State Farm’s alleged bad faith failure to timely pay their claim for Hurricane-Katrina related wind damage. read more
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In a lawsuit filed against the U.S. Army Corps of Engineers involving allegations that the Army Corps was negligent in its maintenance of the Mississippi Gulf River Outlet ("MRGO"), a federal district court in Louisiana recently denied plaintiffs' partial summary judgment motion and defendants' renewed motion to dismiss. read more
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The State Court of Appeal of Louisiana, Fourth Circuit has held that an insured could pursue her lawsuit for Katrina-related damages against her insurer, Louisiana Citizens Property Insurance Corporation, even though the lawsuit was filed over a year after the August 2007 filing deadline had expired. read more
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A group of European insurers and reinsurers, including Allianz, AXA, Munich Re, Swiss Re and Zurich, have established PERILS AG, based in Zurich, to collect and provide industry-wide European catastrophe insurance data. PERILS is intended to provide a service similar to that provided by Property Claims Services (PCS) in relation to US catastrophes. read more
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On July 17, 2006, Washington State Plumbing and Pipefitting Pension Trust, on behalf of shareholders of Bermuda-based insurer Quanta Capital Holdings, Ltd. ("Quanta"), filed an amended securities class action complaint against Quanta and several of Quanta' directors alleging that the registration and prospectus for Quanta's common stock offering contained materially false and misleading statements in violation of Sections 11, 12(a)(2), and 15 of the Securities Act of 1933 and Sections 10(b) (including SEC Rule 10b-5 promulgated thereunder) and 20(a) of the 1934 Securities Exchange Act. read more
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The Fifth Circuit Court of Appeals recently ruled that a Louisiana insured, who suffered Hurricane Katrina-related damages, can recover damages for mental anguish when its insurer acts in bad faith. read more
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As we previously reported here, Rep. Barney Frank’s (D-MA) bill, H.R.6965, which would temporarily extend the NFIP for an additional seven months, was passed by the House of Representatives and the Senate. The National Flood Insurance Program (“NFIP”) was set to expire at the end of September. read more
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As previously reported here, the National Flood Insurance Program (“NFIP”) is due to expire at the end of this month. With the House of Representatives and Senate still at odds over key provisions, Rep. Barney Frank (D-MA) has introduced a bill, H.R. 6965, which would temporarily extend the NFIP for an additional seven months. read more
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On September 9, 2008, Florida Insurance Commissioner Kevin McCarty ordered State Farm Florida to issue $120 million in credits or refunds to approximately 98,000 current or former policyholders who did not receive, or who did not apply for, Windstorm Loss Reduction Rating Plan discounts that were available to Windstorm policy holders who made their homes more windstorm resistant. read more
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The Ninth Circuit recently reversed the California district court’s decision in the case of Northrop Grumman Corp. v. Factory Mutual Ins. Co. ( click here to read our blog post about the district court’s decision and click here to read the Ninth Circuit’s opinion). The Ninth Circuit held that Factory Mutual’s excess all risk policy’s flood exclusion was not ambiguous and served to exclude coverage for damage caused by Hurricane Katrina’s storm surge to the insured’s shipyards. read more
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On a recent campaign trip to Florida, Republican presidential nominee John McCain restated his opposition to the national “Cat Fund” bill that passed the U.S. House last year and was sponsored by Palm Beach County Democratic Congressmen. Ron Klein and Tim Mahoney. McCain did say that he would consider a “Gulf States Compact” or other regional risk pool alternative to a national catastrophe insurance fund. read more
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With Tropical Storm Fay on the map and threatening to become a hurricane before landfall on August 19th, property insurers stopped writing new policies in Florida. read more
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Today, Thursday, August 28, Edwards Angell Palmer & Dodge's Insurance and Reinsurance Department will host a webinar entitled "Insurance Implications of Climate Change". This 60 minute webinar will comprise a discussion of the global legal framework which recognizes the reality of climate change. read more
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On Thursday, August 28, Edwards Angell Palmer & Dodge's Insurance and Reinsurance Department will host a webinar entitled "Insurance Implications of Climate Change". This 60 minute webinar will comprise a discussion of the global legal framework which recognizes the reality of climate change. read more
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Governor Charlie Crist, Florida Insurance Commissioner Kevin McCarty, and Florida House Speaker Designate Ray Sansom were in London on July 15th to discuss state insurance issues. Representing Governor Crist’s Team Florida Trade and Business Development Mission, the delegation met with Lord Levene, Lloyd’s of London chairman. Crist and his team were expected to discuss the role of global reinsurance and the threat of global warming. read more
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On November 7, 2007, former Louisiana Attorney General Charles C. Foti, Jr. filed a lawsuit in the Civil District for the Parish of Orleans alleging that under Louisiana's antitrust laws certain insurers and insurance industry participants fixed prices, manipulated damage estimates and low-balled claims payments after hurricanes Katrina and Rita. read more
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Dickie Scruggs, the Mississippi lawyer who represented thousands of policyholders in their Hurricane Katrina coverage litigation against property insurers, was recently sentenced to five years in prison for conspiring to bribe a judge in a Hurricane Katrina case. In addition, Scruggs was ordered to pay a fine of $250,000. read more
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According to the Insurance Information Institute, the cost of homeowners insurance along the East and Gulf coasts has increased by as much as 100% since 2004. The Wall Street Journal (WSJ) recently reported that regulators and other critics contend that this increase in premiums is due in part to insurers’ use of a “computerized catastrophe model” that assumes climate change resulting in more frequent and more severe hurricanes. read more
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In a recent trial, a jury awarded $21 million to a grocery store chain and its owner against their insurer for the insurer’s unreasonable failure to pay for Katrina-related damages sustained to several of their stores. The trial in the case of Marketfare Annunciation, LLC, et al. v. United Fire & Casualty Insurance Com, et al., took place in federal court in Louisiana. read more
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A federal class action lawsuit was filed recently against a number of mortgage companies and other lending institutions in the Eastern District of Louisiana. The Law Offices of Joseph M. Bruno, et al. v. ABN Amro Mortgage Group, Inc., et al., Case No. 08-2762 (E.D.La. May 1, 2008). ( Click here to read the Complaint.) read more
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On May 21, 2008, the Louisiana Supreme Court issued a pro-insurer decision in Landry v. Louisiana Citizens Property Insurance Company, enforcing a policy’s explicit loss computation method, under the Louisiana Valued Policy Law (“VPL”). The court held that an insurer is not obligated to pay the total loss of an insured’s property when damages are caused concurrently by covered and non-covered perils if the policy explicitly contains a loss computation method that differs from that set forth in the VPL. read more
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The Mississippi Supreme Court has been asked, for the first time, to interpret the antic-concurrent causation clause in a homeowners’ insurance policy. An anti-concurrent causation clause ("ACC clause") generally provides that if a loss arises from a combination of covered and non-covered perils, the entirety of the loss is excluded from coverage. read more
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The Supreme Court of Louisiana recently overturned a Katrina-related Louisiana state appellate court decision, and held that an insurer’s flood exclusion was not ambiguous and that coverage could be denied for water damage sustained to an insured’s property on the basis of this exclusion. read more
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The Fifth Circuit recently reversed a January 2007 federal district court decision, Broussard v. State Farm, in which Mississippi policyholders, whose home was destroyed by Hurricane Katrina, had been awarded their policy limits and $ 1 million in punitive damages against State Farm. read more
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The U.S. Attorney’s office has decided not to intervene, at this time, in United States of America, ex rel. Rigsby v. State Farm Ins. Co., a Katrina-related whistleblower lawsuit filed in federal court in Mississippi. read more
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The United States Court of Appeals for the Fifth Circuit recently upheld the dismissal of a claim by two individuals against an insurance agent who sold them renters’ insurance because they failed to file their claim within one-year after they learned about, or should have known, the facts that gave rise to their claim. read more
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Last week, the United States Supreme Court refused to hear the appeal by policyholders of the Fifth Circuit’s pro-insurer August 2007 decision that held that various policies’ flood exclusions unambiguously precluded recovery for damages caused by breach of the levees after Hurricane Katrina. read more
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The House of Representatives’ Subcommittee on Oversight and Investigations held a field hearing in West Palm Beach, Florida regarding the “crisis related to availability and affordability of homeowners’ insurance in Florida and other disaster-prone areas.” read more
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In the wake of the wildfires that devastated Southern California in October of last year, more than 22,000 insurance claims were filed, according to the Insurance Information Network of California. While the bulk of those claims may be for additional living expenses due to the mass evacuation of San Diego County, at least 1,500 homes were destroyed by the fires. read more
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A Mississippi federal court judge in a hurricane Katrina-related damages trial recently refused to allow a jury to consider whether to award punitive damages against an insurer. read more
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In Mills v. Foremost Insurance Co., No. 06-16458 (Jan. 4, 2008), the 11th Circuit recently overturned the dismissal of Florida hurricane victims’ class-action lawsuit relating to mobile home damages. The plaintiffs claimed that their insurer underpaid for the damage to their mobile homes. read more
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The United States House of Representatives passed H.R. 3959 (the “Bill”) on January 23, 2008, in an attempt to improve the actuarial soundness of the National Flood Insurance Program (“NFIP”). read more
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As previously reported here, Louisiana launched the Insure Louisiana Incentive Program in an effort to attract more property and casualty and increase the private market capacity. The program provides grants ranging from $2 million to $10 million in matching funds to qualified property insurance companies. read more
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In its December 4, 2007 decision in Smith v. Allstate Indemnity Co., the Fifth Circuit Court of Appeals held that Allstate did not act in bad faith when it denied coverage for damage to Norris Edwards Smith’s home caused by storm surge during Hurricane Katrina. read more
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In the wake of the wildfires that devastated Southern California in October of last year, more than 22,000 insurance claims were filed, according to the Insurance Information Network of California. While the bulk of those claims may be for additional living expenses due to the mass evacuation of San Diego County, at least 1,500 homes were destroyed by the fires. read more
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As one of his first actions upon taking office in January 2007, Florida Governor Charlie Crist asked the state legislature to increase the state’s hurricane catastrophe fund. Crist’s initiative was designed to lower insurers’ costs, and insurers, which bought reinsurance from the state, were supposed to pass their savings on to policyholders. read more
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While there have been several pre-trial rulings from Louisiana federal courts on Katrina-related insurance coverage issues, the first such trial in Louisiana federal court took place recently. On November 7, 2007, a jury in the Eastern District of Louisiana awarded $365,000 to Michael and Judy Kodrin from their homeowners’ insurer, State Farm Fire Insurance Company. read more
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In the context of a Katrina-related claim, in its recent decision in Sher v. Lafayette Insurance Company, et al., a Louisiana state appellate court held that an insurer’s water exclusion was ambiguous and that the insurer could not deny coverage for water damage sustained to an insured’s property on the basis of the exclusion. read more
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As we recently reported, Dickie Scruggs, along with his son and other colleagues, were recently indicted on charges in a judicial bribery case. Despite some media reports of Scruggs’ initial reluctance to withdraw from the representation of hundreds of policyholder clients in pending Katrina-related coverage lawsuits, Scruggs and his law firm have withdrawn their representation in these suits. read more
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On InsureReinsure.com, we strive to provide information about issues involving the insurance and reinsurance world and we rarely deal with criminal proceedings but there are instances, however, when alleged criminal activities become relevant to our industry. We have blogged regularly about Richard (“Dickie”) Scruggs and the Scruggs Katrina Group, a group of attorneys representing thousands of policyholders in Katrina-related coverage disputes with their insurance companies. read more
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Last week, a federal appellate court affirmed the denial of a motion filed by State Farm Fire and Casualty Company (“State Farm”) to disqualify Richard ("Dickie") Scruggs, his law firm, and other attorneys and firms in the Scruggs Katrina Group from representing plaintiffs in the case of McIntosh v. State Farm Fire & Casualty Co. read more
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In its recent decision in Tuepker v. State Farm, the Fifth Circuit Court of Appeals has held that State Farm's anti-concurrent causation clause is unambiguous and should be enforced under Mississippi law. read more
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Last week, Standard & Poor’s (“S&P”) revealed that a $190 million catastrophe bond issued by special purpose vehicle KAMP RE 2005 Ltd. (“KAMP RE”) on behalf of Swiss Reinsurance America Corp., (“Swiss Re”) is about to be triggered. read more
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The Federal District Court for the Southern District of Mississippi recently unsealed the court record in a lawsuit filed by State Farm Fire and Casualty Company (“State Farm”) against the Attorney General of Mississippi, Jim Hood. read more
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On November 8, 2007, Louisiana Attorney General Charles C. Foti, Jr. announced that his office filed a petition in New Orleans Civil District Court suit against Allstate Insurance Company, Lafayette Insurance Company, Xactware, Inc., Marshall & Swift/Boeckh, LLC, Insurance Services Office, Inc., State Farm Fire and Casualty Company, USAA Casualty Insurance Company, Farmers Insurance Exchange, Standard Fire Insurance Company and McKinsey & Company for alleged violations of the Louisiana Monopolies Act. read more
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On August 23, 2007, Louisiana Attorney General, Charles C. Foti, Jr. filed a lawsuit accusing over one hundred insurance companies of improperly denying Katrina related damages. The action was brought on behalf of homeowners who are eligible to receive funds through the Road Home Program (“Program”). read more
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On October 17, 2007, a federal court judge sitting in the Eastern District of Louisiana dismissed a Katrina-related whistleblower lawsuit (United States of America, ex rel. Branch Consultants, Inc. v. Allstate Insurance Company, et al., Case No. 06-4091 (E.D.La. filed August 2, 2006)). read more
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In a case arising out of Hurricane Katrina-related damages, the United States District Court for the District of Connecticut ruled that communications between a cedent and reinsurer that were prepared in the ordinary course of business are not protected by the work-product privilege. read more
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On September 12, 2007, Judge L.T. Senter, Jr., sitting in the federal district court in Mississippi, denied a motion filed by State Farm Fire and Casualty Company to disqualify Richard ("Dickie") Scruggs, his law firm, and other attorneys and firms in the Scruggs Katrina Group from representing plaintiffs in the case of McIntosh v. State Farm Fire & Casualty Co. read more
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The Senate Banking Committee has approved a version of the Flood Insurance Reform and Modernization Act of 2007 (the “Act”), which will now go to the entire Senate for a vote. The Act, which extends the National Flood Insurance Program (“NFIP”) through 2013, has several major differences from the House of Representatives’ version we previously reported about here. read more
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On September 28, 2007, a jury in an action venued in the United States District Court, Southern District of Mississippi, found that certain damage to the home of Kevin and Sherrye Webster was caused by wind, wind-blown debris and/or wind-driven rain, which were all covered perils under the Websters’ homeowners’ policy. read more
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Louisiana has begun accepting applications from property and casualty insurance companies for grants under the Insure Louisiana Incentive Program. According to Louisiana Insurance Commissioner Jim Donelon, the program is designed to "attract more property and casualty providers to [Louisiana] and to increase the private market capacity by 15%.” read more
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Judge Stanwood R. Duval, Jr. of the United States district court of Lousisa federal district court sitting in Louisiana recently held that two homeowners could jointly file an amended complaint and proceed with their proposed class action lawsuit against State Farm Fire and Casualty Company and software company Xactware. read more
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A medical clinic located in New Orleans, Spine Care East, LLC, filed suit in a federal district court in Louisiana on August 24, against its insurer, Hanover Insurance Company. In the Complaint ( click here to review the Complaint), Spine Care alleges that Hanover acted in bad faith by failing to properly compensate Spine Care for its business interruption losses sustained in the wake of Hurricane Katrina. read more
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Last week, the House of Representatives voted 263-146 to approve the Flood Insurance Reform and Modernization Act of 2007 ( H.R. 3121), which, among other things, would allow homeowners to purchase windstorm coverage from the National Flood Insurance Program (“NFIP”). read more
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August 29 was the last day that Louisiana residents could file lawsuits against their insurers alleging that their insurers did not properly adjust, or pay, their Hurricane-Katrina related claims. Louisiana had previously extended the time in which parties had to file lawsuits arising out of Katrina-related damage, on property claims from one to two years. read more
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As discussed here, the Fifth Circuit Court of Appeals recently heard oral argument on the appeal in the Katrina case of Leonard v. Nationwide Mutual Insurance Company. Last week, the Fifth Circuit affirmed the August 2006 holding of the district court, and held that most of the damage to the Leonards’ property was not the result of covered wind damage, but the Fifth Circuit disagreed with much of the district court’s rationale. read more
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A Louisiana state appellate court was recently faced with the question of the applicability of Louisiana’s Valued Policy Law in a Katrina-related case, in the case of Landry v. Louisiana Citizens Property Insurance Company, and the Louisiana state court followed the holding of the Fifth Circuit's decision in Chauvin v. State Farm Fire & Casualty Co. In so holding, the state appellate court ruled that insureds who suffered a total loss from a hurricane are not entitled to recover the full amount of their loss if the loss was due to both covered and non-covered perils. read more
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Earlier this month, a federal district court in California granted an insured’s motion for partial summary judgment in a Katrina-related coverage case, holding that flood damage arising out of storm surge is not excluded under the policy’s flood exclusion. read more
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Mississippi and Louisiana are not the only states to be affected by Hurricane Katrina and last week, an Alabama jury heard its first Katrina-related wind versus water insurance case. read more
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Katrina Justice, Inc., a New Orleans not for profit corporation, recently petitioned for a writ of mandamus in the Civil District Court, Parish of New Orleans, State of Louisiana. The defendants in the civil action include the City of New Orleans, Mayor C. Ray Nagin, the Orleans Parish School Board and Superintendent Darryl Kilbert, as well as unidentified insurance companies. read more
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On August 6, the Fifth Circuit Court of Appeals in New Orleans issued an important decision on the application of Louisiana’s Valued Policy Law (“VPL”) to Katrina losses by unanimously affirming a ruling in favor of insurers. read more
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Oral arguments on appeal were recently heard on one of the first verdicts handed down in a Katrina-related insurance trial. Arguments on the appeal of Leonard v. Nationwide Mutual Insurance Company were heard on August 6 before the Fifth Circuit Court of Appeals. read more
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As previously reported here, a Northern District of Alabama judge recently asked federal prosecutors to charge Mississippi plaintiff's attorney Richard "Dickie" Scruggs with criminal contempt. It is alleged that Scruggs violated a preliminary injunction issued in December 2006, which ordered him to turn over all documents secretly copied by two whistleblowers, Corgi Rigsby Moran and Kerri Rigsby. read more
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As we wrote about here, the Fifth Circuit heard oral argument on June 5 on the appeal of Judge Duval's November 2006 decision on the enforceability of various policies' flood exclusions. On August 2, the Fifth Circuit issued its opinion and partially reversed Judge Duval's decision. read more
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Despite warnings from the Bush Administration, as reported here that it would not support any legislation expanding the National Flood Insurance Program (“NFIP”) to include windstorm coverage, the House Financial Services Committee approved the Flood Insurance Reform and Modernization Act of 2007 ( H.R. 3121), which contains just such an amendment to the NFIP. read more
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In a letter dated June 25, 2007, the Consumer Federation of America urged insurance commissioners around the country to ban the use of anti-concurrent-causation clauses ("ACC clauses") in insurance policies. read more
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As reported here the House Committee on Financial Services held a hearing on July 17 to discuss Rep. Gene Taylor’s (D-MS) proposal, the Multiple Peril Insurance Act of 2007, which would expand the National Flood Insurance Program to include wind coverage. read more
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Rep. Gene Taylor (D-MS) has introduced H.R. 920, entitled the "Multiple Peril Insurance Act of 2007," to the United States House of Representatives in response to the denial of claims from Hurricane Katrina due to wind loss. read more
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In a previous entry, we discussed a recent Katrina-related whistleblower suit filed in the Eastern District of Louisiana. As we discussed, the lawsuit claims that a number of insurers allegedly misrepresented claims to the National Flood Insurance Program so as to limit their exposure, and was filed by Branch Consultants on behalf of the U.S. government. read more
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A Northern District of Alabama judge recently asked federal prosecutors to charge Mississippi plaintiff's attorney Richard "Dickie" Scruggs with criminal contempt. It is alleged that Scruggs violated a preliminary injunction issued in December 2006, which ordered him to turn over all documents secretly copied by two whistleblowers, Corgi Rigsby Moran and Kerri Rigsby. read more
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On June 11, Mississippi Attorney General Jim Hood filed a civil action again State Farm Fire and Casualty Co. in the Circuit Court of Hinds County, Mississippi, alleging breach of contract, bad faith breach of contract, and breach of duty of good faith and fair dealing. The suit arises out of State Farm’s alleged failure to honor an agreement for a mass settlement of claims arising out of damage caused by Hurricane Katrina. read more
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On June 21, Allstate Insurance announced that it settled a post-trial legal dispute with its insured, Robert Weiss, in a significant Hurricane Katrina-related damages case. read more
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The Florida Legislature created the Task Force on Citizens Property Insurance Claims Handling and Resolution during a special session in 2007. Citizens Property Insurance Company, Florida’s state sponsored insurer, experienced significant difficulties in handling the deluge of claims from the 2004 and 2005 hurricane seasons. read more
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A Katrina-related whistleblower lawsuit originally filed under seal on August 2, 2006, was recently unsealed and made public. read more
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Today, the Fifth Circuit Court of Appeals is hearing oral argument on the appeal of a Katrina-related coverage decision by U.S. District Court Judge Stanwood R. Duval, Jr., issued in November 2006. read more
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Some of the most interesting developments over the past six months in the world of insurance coverage come out of Hurricane Katrina, the largest insured loss in U.S. history. Several thousand lawsuits, filed in Mississippi and Louisiana, focused on the question of whether property damage arising from the hurricane was caused by wind or objects propelled by wind, both of which are covered under the standard property insurance policy, or by excluded water or flood. read more
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