The article of the month deals with consent judgment litigation. The article provides an introductory explanation of consent judgments and offers a 50 state overview wherein case law precedents from every state are noted. See the designated article in the FC&S Bulletins.

The court case come from Texas, Michigan, Montana, and Georgia. The United States Court of Appeals for the Fifth Circuit certified questions to the Supreme Court of Texas pertaining to the meaning of the terms “physical injury” and “replacement”, found in the impaired property exclusion. PIP benefits were the focus of the Court of Appeals of Michigan wherein the court had to interpret the state no-fault law as to whether it applies to an out-of-state insurer when any accidental bodily injury arising from an out-of-state insured's ownership or use of a motor vehicle occurs. Before the United States District Court for Montana was a case dealing with motions for reimbursement of defense costs. The final case comes from the United States District Court, M.D. Georgia, and discusses spoliation of evidence and the factors used by federal courts in deciding whether to impose sanctions for the spoliation of evidence.

Questions and Answers

Does the contaminant exclusion apply to algae? See Algae as a Contaminant under CGL Form. If two out of four tires are not damaged in an accident but need to be replaced to match new tires, does the PAP cover the cost to replace the two undamaged tires? See Direct Loss under Personal Auto Policy.

Are claimant's legal fees covered under the BOP provisions? See Legal Fees Not Covered by the BOP. What additional insured endorsements work best for the insured? See Additional Insured Endorsements Discussion.

Governmental Action

This article discusses the application of the governmental action exclusion found in property coverage forms. See Governmental Action.

Hardware and Home Improvement Stores

ISO has developed a market segments program providing specialized coverages for certain specialty insurance markets. This program offers “wrap-around endorsements” that are used to enhance the coverages provided by standard coverage forms, like the commercial property and general liability forms. This article provides information on the Hardware and Home Improvement Stores Coverage Form, MS HI 01 07 13, and changes made to this form in the 2013 revision. See Hardware and Home Improvement Stores.

Underground Storage Tank Policy

The ISO underground storage tank policy, CG 00 42, has been revised. This article discusses the coverage form with its insuring agreement, exclusions, conditions, and definitions. Some endorsements that can be used with CG 00 42 are also noted. See Underground Storage Tank Policy.

Dwelling Lead Coverage and Exclusions

With the currents issues concerning lead in drinking water, this article looks at the available endorsements that provide or restrict coverage for lead poisoning in various states. See Dwelling Lead Coverage and Exclusions.

Livestock Coverage

The Livestock Coverage article has been updated. This coverage allows blanket or scheduled coverage for livestock. See Livestock Coverage.