5 WILD & WACKY INSURANCE POLICIES 1. Alien Abductions. Yes, it is true. If you feel as though this is an event that is in the realm of possibility for you, Lloyd's of London will sell you a policy to coverage damages and loss when you are abducted. 2. Runaway Brides. Travelers and other insurers are now offering nuptial insurance that covers typical wedding catastrophes such as a bankrupt caterer or a bride or groom with [...]
THE BOTTOM LINE: If a specific peril's policy does not define theft, a court will use a broad definition that may ultimately allow coverage. In a recent case, Peterson v. Homesite Indemnity Co., 287 Neb. 48 (Dec. 20, 2013), the Nebraska Supreme Court reviewed a standard coverage clause on theft. The policyholder had hired a moving company to transport his household goods to Florida. The cost of the move was based upon the weight [...]
There are three essential steps to railroad risk transference through insurance: 1. Add an indemnity clause to all contracts making clear that you are asking for indemnity for the contractor's or vendor's negligence. If you do intend to seek indemnity for the railroad's negligence too, this language needs to be clear and unequivocal in order to adhere to most states' requirements. Not all states allow exculpatory indemnity. (I will write more about this later. [...]
Here are three simple rules for obtaining indemnity and insurance on a construction project if you are the owner or the General Contractor. #1. Make all subcontractors add you as an additional insured on their CGL policies by endorsement. Insist upon the ISO 1985 version, which would cover you for losses incurred even if it is your fault. This is the broadest form available. #2. Draft a contract with the subs that contains two separate clauses: one [...]
ISO has issued new Commercial General Liability (CGL) forms and endorsements that are operative as of April 2013. Many of these new policy provisions will affect our readers. Some take away coverage, others add more, and a few new ISO provisions set forth clarification of the meaning of existing forms. I will periodically discuss in the Guide how these new provisions change coverage in future policies. Many states have already adopted these changes, including [...]
I often discuss the role of the courts in broadening coverage for additional insureds in a Commercial General Insurance (CGL) policy. Here is another case where a court has extending coverage – probably well beyond what the underwriter intended at the time the policy was issued. In the case of Evanston Ins. Co. v. ATOFINA Petrochemicals, Inc., 256 S.W.3d 660, 666 (Tex. 2008), ATOFINA contracted with Triple S Industrial [...]
