Tag Archives: water

Earth Movement Exclusion Bars Coverage Based On Anti-Concurrent Causation Clause

The United States District Court for the District of Arizona recently held that the efficient proximate cause doctrine does not exist in Arizona and, therefore, a policy’s concurrent causation language should be given effect. In Stankova et al. v. Metropolitan Property and Casualty Ins. Co., 2012 U.S. Dist. LEXIS 150900 (D. Ariz. Oct. 17, 2012), … Continue Reading

Hurricane Sandy Insurance Claims: What Insurers Should Focus On

Insurers are starting to deploy adjusters to handle claims from Hurricane Sandy. An article in yesterday’s Wall Street Journal reports that “Disaster-modeling firm AIR Worldwide estimates the industry’s share of losses at $7 billion to $15 billion. At the high end of that range, Sandy would become the third-most expensive storm for insurers in U.S. … Continue Reading

“Earth Movement” Exclusion Bars Coverage for Damage Traced to Leak from Broken Water Pipe, According to Massachusetts Appeals Court

Most commercial and personal lines property insurance policies exclude damage caused directly or indirectly by the peril of “earth movement.” The ISO version of this exclusion appears in many modern policies and provides that: [Insurer] will not pay for loss or damage caused directly or indirectly by any of the following. Such loss or damage … Continue Reading

Wind vs. Water Damage Allocation Debate: Congress Passes COASTAL Act, Establishing New Wind vs. Water Allocation Formula

As reported by Arthur D. Postal on PropertyCasualty360.com’s online news service, Congress’s recent extension of the National Flood Insurance Program includes a potentially significant provision intended to help resolve debates about allocation of damage between wind and water in hurricane losses. Recently, Congress passed the Consumer Option for an Alternative System to Allocate Losses (“COASTAL … Continue Reading
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