Okay, it's more like three minutes. Sue me. Unless you're a member of my extended family. Please. I discuss the strange case of an aunt who sued her 12 year-old nephew, and why his parents' homeowners insurance didn't come through.
Question from an IIABNY member: Have a question about an 18 year old daughter of a divorced couple. She lives with her mother 70 percent of the time and her father 30 percent of the time. If she were involved in an accident as a passenger in another vehicle or as a pedestrian, would the coverage come from the mother’s policy? Would the coverage come from the policy where she was staying at the time of the loss? Would both policies respond proportionally? Any thoughts?
Answer: ISO endorsement PP 05 87 01 14, Personal Injury Protection Coverage – New York, states in relevant part:
Not long ago, a newsletter from an insurance agency landed in my email in box. The content in the newsletter appeared to be targeted at the agency’s personal lines clients. The article was all about coverage issues, which I think is a good thing. I’m all for trying to get insurance consumers to focus on the product they’re buying instead of how much they’re paying for it. The gecko and my gal Flo do plenty to emphasize the size of the premium. When independent insurance agents speak with their clients about coverage, they are doing the industry and the public a favor.
Unfortunately, this newsletter missed the mark. The more times I read it, the more I saw it as an example of what not to do. The author’s intentions were good; the execution was not. If your agency publishes a client newsletter, or regularly communicates with clients in some other way (which you should,) then here are some things to keep in mind:
Gather ‘round, young Jedis, for another lesson in why insurance is not a commodity. Today’s tale involves a Homeowners policy, a named insured who complicated matters by not living anymore, some stuff that went missing, and two words.
Our story begins and ends in the burg of Mineral Wells, Texas, where Mr. J.O. Spurlock owned and occupied a home. His Homeowners policy, issued by Beacon Lloyds Insurance Company, listed only him as a named insured. It identified his street address as the “residence premises/dwelling” and provided dwelling and personal property coverage. (Note: Beacon Lloyds dissolved at the end of 2012.)
Okay, so I unintentionally took September off from the blog, but I’m back now. This is a continuation of my series on how insurance policies are not alike (see my posts on May 5 and May 6). The following is an email discussion I had with a Westchester County agent last August. I’ve edited it slightly to remove extraneous detail and to leave the insurer anonymous.
Question: One of our clients recently took delivery of some heavy equipment and asked if there would be coverage for his property if the floor collapsed. Our client is the tenant, not the building owner. The coverage form is the (insurer’s) Special Property Coverage Form, which we believe is the same or almost the same as the corresponding ISO form. I have attached a page from the (insurer’s) policy. Coverage is clear with respect to building damage for collapse caused by weight of people of personal property, but I can’t make sense out of the personal property wording. Do you feel that personal property owned by a tenant of a building would be covered if the building were to collapse due to weight of personal property?