The Florida property insurance marketplace is continuing to be in a crisis. Thirty years ago, Category 5 Hurricane Andrew tore through Florida, killing at least 26 people, destroying at least 25,000 houses and damaging at least 100,000 more. It led to major changes in Florida building codes and permanent changes in the insurance industry in the state.
Mar.15.2021
Courts Dismiss COVID-19 Business Interruption Claims
On March 8, 2021, the district court for the Southern District of California granted Travelers Property Casualty Company of America’s motion to dismiss a flower importer and distributor’s COVID-19 extra expense claim. The court found that the policy’s Acts or Decisions Exclusion which “bars coverage for property damage, loss, and expense that is caused by or results from any decision, act or failure to act or decide, by…any ‘governmental body,’” unambiguously excluded coverage.
See Order at 13. Because Travelers based its denial of coverage on the applicable exclusion, the court similarly dismissed the plaintiff’s breach of implied covenant of good faith and fair dealing claim.