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COA adopts common-sense rule on providing insurance policies

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The Indiana Court of Appeals has adopted a common-sense rule many other courts throughout the country have implemented, in requiring insurers to provide copies of their insurance policies to the insured if they ask for one following a loss.

If that doesn’t happen, the state’s intermediate appellate court holds that the insurer would then be banned from arguing in subsequent litigation that a policy holder didn’t comply with all the terms and couldn’t receive coverage.

The ruling comes today in Auto-Owners Insurance Company v. Gary Hughes, 18A02-1006-PL-659, a case out of Delaware Circuit Court where Judge John Feick had denied a summary judgment from Auto-Owners Insurance that a home fire insurance coverage suit was barred by a one-year statute of limitations.

An arson fire in March 2002 destroyed Gary Hughes’ home in Eaton, and part of his insurance policy with Auto-Owners said that the company couldn’t be sued unless there’s full compliance with all of the policy terms and that the suit must be filed within a year of the loss or damage. Hughes hired a public adjuster as his agent and 11 months later, Auto-Owners denied the claim due to “arson, fraud, misrepresentation, false swearing, and lack of determination of ownership or an insurable interest.” Hughes filed a breach of contract and breach of duty suit in May 2003, 14 months following the loss.

The insurance company argued that Hughes’ suit should be barred because it wasn’t filed within a year, but the trial court twice denied summary judgment motions. The court ruled in favor of Auto-Owners on the punitive damage claim but denied the bad faith claim and one-year limitation defense, and a jury awarded Hughes $166,792.83 in damages.

One of the issues on appeal became whether Hughes had received a copy of his insurance policy following the loss, as he claimed to have requested. He argued that Auto-Owners shouldn’t be able to raise that claim, as it didn’t provide him with a copy, while the insurance company contended it had supplied him with one.

Specifically, the appellate panel found that the principles of equity and fairness create a limited duty to provide a copy of an insurance policy when the insured has requested one, and that failure to discharge that duty would prevent an insurer from asserting noncompliance with policy terms. Citing caselaw from Georgia, Illinois, Missouri, New Jersey, New York, Rhode Island, and Wisconsin, the Hoosier appellate panel adopted that rule as its own.

“We think that this rule reflects the realities of the typical relationship between an insurance company and an insured, at least when the insured is a private individual,” Judge Cale Bradford wrote. “Very few insureds will ever read, much less attempt to understand, their insurance policies, unless of course they happen to suffer a loss. We also venture to guess that very few homeowners will ever take the precaution of storing a copy of their policy at a secure location outside of the home, making it that much more likely that a copy will be destroyed in a loss and not be available when needed most.”

But even with that holding, Hughes lost because the case record proved that Auto-Owners had supplied him with a copy of his policy within a month of his loss in March 2002. Therefore, Auto-Owners should have been able to raise the one-year limitation argument and should have prevailed on that point, the appellate court ruled.

The case was reversed and remanded to the trial court with instructions to enter summary judgment in favor of Auto-Owners.

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  1. Call it unauthorized law if you must, a regulatory wrong, but it was fraud and theft well beyond that, a seeming crime! "In three specific cases, the hearing officer found that Westerfield did little to no work for her clients but only issued a partial refund or no refund at all." That is theft by deception, folks. "In its decision to suspend Westerfield, the Supreme Court noted that she already had a long disciplinary history dating back to 1996 and had previously been suspended in 2004 and indefinitely suspended in 2005. She was reinstated in 2009 after finally giving the commission a response to the grievance for which she was suspended in 2004." WOW -- was the Indiana Supreme Court complicit in her fraud? Talk about being on notice of a real bad actor .... "Further, the justices noted that during her testimony, Westerfield was “disingenuous and evasive” about her relationship with Tope and attempted to distance herself from him. They also wrote that other aggravating factors existed in Westerfield’s case, such as her lack of remorse." WOW, and yet she only got 18 months on the bench, and if she shows up and cries for them in a year and a half, and pays money to JLAP for group therapy ... back in to ride roughshod over hapless clients (or are they "marks") once again! Aint Hoosier lawyering a great money making adventure!!! Just live for the bucks, even if filthy lucre, and come out a-ok. ME on the other hand??? Lifetime banishment for blowing the whistle on unconstitutional governance. Yes, had I ripped off clients or had ANY disciplinary history for doing that I would have fared better, most likely, as that it would have revealed me motivated by Mammon and not Faith. Check it out if you doubt my reading of this, compare and contrast the above 18 months with my lifetime banishment from court, see appendix for Bar Examiners report which the ISC adopted without substantive review: https://www.scribd.com/doc/299040839/2016Petitionforcert-to-SCOTUS

  2. Wow, over a quarter million dollars? That is a a lot of commissary money! Over what time frame? Years I would guess. Anyone ever try to blow the whistle? Probably not, since most Hoosiers who take notice of such things realize that Hoosier whistleblowers are almost always pilloried. If someone did blow the whistle, they were likely fired. The persecution of whistleblowers is a sure sign of far too much government corruption. Details of my own personal experience at the top of Hoosier governance available upon request ... maybe a "fake news" media outlet will have the courage to tell the stories of Hoosier whistleblowers that the "real" Hoosier media (cough) will not deign to touch. (They are part of the problem.)

  3. So if I am reading it right, only if and when African American college students agree to receive checks labeling them as "Negroes" do they receive aid from the UNCF or the Quaker's Educational Fund? In other words, to borrow from the Indiana Appellate Court, "the [nonprofit] supposed to be [their] advocate, refers to [students] in a racially offensive manner. While there is no evidence that [the nonprofits] intended harm to [African American students], the harm was nonetheless inflicted. [Black students are] presented to [academia and future employers] in a racially offensive manner. For these reasons, [such] performance [is] deficient and also prejudice[ial]." Maybe even DEPLORABLE???

  4. I'm the poor soul who spent over 10 years in prison with many many other prisoners trying to kill me for being charged with a sex offense THAT I DID NOT COMMIT i was in jail for a battery charge for helping a friend leave a boyfriend who beat her I've been saying for over 28 years that i did not and would never hurt a child like that mine or anybody's child but NOBODY wants to believe that i might not be guilty of this horrible crime or think that when i say that ALL the paperwork concerning my conviction has strangely DISAPPEARED or even when the long beach judge re-sentenced me over 14 months on a already filed plea bargain out of another districts court then had it filed under a fake name so i could not find while trying to fight my conviction on appeal in a nut shell people are ALWAYS quick to believe the worst about some one well I DID NOT HURT ANY CHILD EVER IN MY LIFE AND HAVE SAID THIS FOR ALMOST 30 YEARS please if anybody can me get some kind of justice it would be greatly appreciated respectfully written wrongly accused Brian Valenti

  5. A high ranking Indiana supreme Court operative caught red handed leading a group using the uber offensive N word! She must denounce or be denounced! (Or not since she is an insider ... rules do not apply to them). Evidence here: http://m.indianacompanies.us/friends-educational-fund-for-negroes.364110.company.v2#top_info

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