Category: Uncategorized

When making travel arrangements, you often have the option of purchasing travel insurance, which also is known as trip insurance.  Travel insurance can be purchased directly from the travel agent or trip provider, or from an independent company.  Several of the major insurance companies allow you to purchase trip insurance online after your travel has… Continue reading Court Holds Travel Insurance Provides No Coverage for Pre-Existing Condition

As a general rule, there is no coverage under a commercial general liability (“CGL”) policy for damage caused by an insured-contractor’s faulty workmanship.  The reasoning behind this was explained by the New Jersey Supreme Court in Weedo v. Stone-E-Brick, Inc., 81 N.J. 233 (1979), the seminal New Jersey case addressing liability insurance coverage for faulty… Continue reading NJ Supreme Court Holds Damages Resulting from Subcontractor’s Faulty Workmanship May Be Covered

Over a decade ago, I wrote an article titled Off-Premises Defense Washed Up?, which appeared in the May 30, 2005 issue of the National Underwriter Property & Casualty Magazine.  The article involved two appellate court decisions, one issued by a New York court and the other one issued by a New Jersey court,  in which… Continue reading New Jersey Supreme Court Revisits Take-Home Toxic-Tort Liability

As a general rule, an insured has no right to settle a claim without the consent of its liability insurer.  If it does so, it runs the risk of losing coverage for the loss.  However, if an insurer improperly denies coverage, or improperly refuses to provide a defense to its insured, it may be bound… Continue reading GRIGGS SETTLEMENTS REVISITED

In Bardis v. Stinson, 2016 WL 1650509 (N.J. April 27, 2016), the New Jersey Supreme Court addressed the issue of whether the collapse of the insureds’ basement wall was covered under their homeowner’s insurance policy.   Adopting the reasoning of the dissenting judge in the court below, the Court held that there was no coverage.  The… Continue reading A Square Peg in a Round Hole: Court Rules Decay is Not the Same as Defect

Most first-party property insurance policies contain an express contractual provision, known as a suit limitation provision, that limits the time period within which an action seeking recovery under the policy may be commenced.  Suit-limitation provisions typically provide that any action must be commenced within twelve months of the date of the loss. Under New Jersey… Continue reading Federal Judge Holds Suit Limitation Provision Bars Recovery of Additional Sandy Damage

Most third-party liability policies are occurrence based.  In order for a loss to be covered under such a policy, the damage at issue must “occur” during the policy period.  In most instances, it does not matter when a claim is actually asserted as long as the damage took place during the policy period.  A claims-made… Continue reading Failure to Provide Timely Notice under Claims-Made Policy Results in Forfeiture of Coverage

Determining precisely when property damage or personal injury occurred in a case involving exposure to chemicals or other toxic substances over a period of many years can be extremely difficult, if not impossible.  Equally difficult is determining how to allocate such losses among the insurance policies that were in place during the time that the… Continue reading Owens-Illinois/Carter-Wallace Allocation and Insolvent Insurers

In an action seeking recovery based on professional malpractice, a plaintiff is required to provide the defendant with an “affidavit of merit” prepared by “an appropriate licensed person” setting forth that there exists “a reasonable probability” that the defendant committed malpractice.  See N.J.S.A. 2A:53A-27.  The affidavit must be provided within 60 days of the filing… Continue reading Failure to Timely File Affidavit of Merit Results in Dismissal of Claim Against Insurance Broker

With respect to auto liability policies, the rule has long been that an insurer is still liable to innocent third parties even if the policy at issue is rescinded based on the insured’s misrepresentations.  As discussed in a prior blog post, that rule was reaffirmed by the New Jersey Supreme Court just a few months… Continue reading Court Rules Insurer Owed No Duties to Doctor Who Lied on Insurance Application