The article of the month concerns the National Association of Mutual Insurance Companies (NAMIC) Arbitration Service. This service offers claim arbitrations for the settlement of subrogation disputes arising from damage to or by automobiles and livestock. This service provides a forum for low-cost resolution of subrogation disputes between property/casualty insurance Companies in the United States. The written decisions of the service contain a comprehensive breakdown of each case, including a discussion of the reasoning behind the ruling.

For more information on this service, see NAMIC Property Casualty Conference Claim Arbitration Service.

The court cases this month in the Dec Page come from the U.S. First Circuit Court of Appeals, the U.S. District Court for the Western District of Washington, and the Supreme Court, Appellate Division, New York. The First Circuit Court explained the extent of coverage for employees of a contractor when an exclusion for bodily injury to contractors and their employees existed in the general liability policy. Coverage under a designated premises endorsement was explored by the U.S. District Court. The liability policy contained such an endorsement and a coverage dispute arose when an auto accident occurred 500 miles away from the designated premises. The New York Appellate Court dealt with electronic data coverage. The insured was sued based on a claim for negligently failing to exercise reasonable care in safeguarding credit card information. The court reviewed the policy language and based its decision on the definition of property damage.

Questions and Answers

Are vandalism of and theft from a customer's vehicle covered under the Auto Dealers Coverage Form? See Auto Dealers Policy and Coverage for Property of Customer. Is a spouse of an individual named on the declaration automatically included as named insured under the BAP? See BAP Coverage for Spouse.

Is an alleged illegal strip search resulting in bodily injuries covered under the CGL? See Bodily Injury and Illegal Strip Search. Is damage to an elevator gate caused by a valet covered under the BAP? See Care, Custody, or Control Exclusion and Property Damage.

How are trees killed by insured covered under a CGL? See Completed Operations as Defined. Is a claim for loss of reputation considered bodily injury or property damage under the CGL or BAP forms? See Damaged Reputation Claim.

Farm Property-Barns, Outbuildings, and Other Farm Structures Coverage Form, FP 00 14

Farm Property – Barns, Outbuildings, And Other Farm Structures Coverage Form, FP 00 14 04 16, applies to buildings and structures, other than farm dwellings and other private structures appurtenant to dwellings. Coverage applies to farm buildings or structures under form FP 00 14, when a limit of insurance is shown for each item. An update to this article reflects changes made to the form in the 2016 revision of the Farm program. See Farm Property-Barns, Outbuildings, and Other Farm Structures Coverage Form, FP 00 14.

Hotels, Motels, and Inns

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 Hotels, Motels, And Inns coverage form, MS HM 01 07 13, and changes made to it in the 2013 Market Segments program revision. See Hotels, Motels, and Inns.

Roof Surfacing Cosmetic Damage Exclusion – Windstorm or Hail

This article discusses the new form providing an exclusion to cosmetic damage caused to roofs by hail or windstorm. Such damage is costly and time consuming, yet does not affect the functioning of the property itself. This endorsement provides the insured with a premium reduction and relieves the carrier of the need to repair damage that does not affect the integrity of the roof. See Roof Surfacing Cosmetic Damage Exclusion-Windstorm or Hail.

Limited Loss Settlement for Windstorm or Hail Losses to Roof Surfacing

This article discusses the new form providing limited coverage to roof surfaces based on their age. The older the roof, the more likely it was need in some repair before the wind or hail storm occurred. Maintenance is not covered by insurance, so this allows the carrier to more properly address the loss itself, and not underlying maintenance issues. See Limited Loss Settlement for Windstorm or Hail Losses to Roof Surfacing.