ILNews

Judges split on whether 2 insurers must pay for damage

Back to TopCommentsE-mailPrintBookmark and Share

An Indiana Court of Appeals judge dissented from the majority’s holding that two insurers were financially responsible for the damages caused by a fractured storm pipe and subsequent flooding of a school. The judge believed that only one of the responsible party’s insurers had to pay for the property damage.

In Grange Mutual Casualty, et al. v. West Bend Mutual Ins., et al. No. 29A02-1008-PL-965, the two insurers disputed which policy was triggered after a school in which insured McCurdy Mechanical installed plumping, sewers, and drains was flooded due to a fractured storm drain pipe. At the time McCurdy performed the work on the school, it had a commercial general liability policy with West Bend Mutual Insurance. When the damaged pipe burst and caused the flooding in the school, Grange Mutual Casualty provided McCurdy’s CGL insurance. It was later discovered that the pipe was fractured by McCurdy sometime around spring of 2005, when West Bend's policy was active.

The two insurers jointly settled with the school’s insurance company for damages from the flood and then filed competing motions for summary judgment as to which insurer was responsible. The trial court denied Grange’s motion for summary judgment and granted West Bend’s motion for summary judgment.

The majority found that the parties incorrectly focused on the timing of the occurrences in the case and that they aren’t really relevant to the determination of coverage based on the insurance policies, which are very similar. What’s important is the timing of the property damage because the policies require that the damage occur during the policy period, wrote Judge Ezra Friedlander.

The majority held that in this case, it’s not an “either-or determination.” West Bend’s coverage was triggered by the original fracturing of the storm drain pipe which resulted in immediate damage to the pipe and subsequent flooding. They held that the policy covers all damages that flowed from the original damage, including the extensive flood damage. But Grange is also responsible for some damages, they held. Coverage under the Grange policy was triggered when the flooding occurred during its policy period, regardless of when the original negligence took place, wrote the judge. The majority remanded for the trial court to apportion damages accordingly.

Judge Melissa May agreed with the majority that West Bend’s policy covers all damages that flowed from the original damage, but disagreed that Grange’s policy also covers the flood damage at issue.

“There is nothing to ‘apportion.’ The majority is correct that the West Bend policy covers ‘all damages,’ and I would accordingly decline to hold there could be damages in addition to ‘all damages’ or that any such additional damages could be assigned on remand to Grange,” she wrote. “I believe ‘all’ means ‘all,’ and I would accordingly reverse and direct summary judgment for Grange.”

Judge May cited Parr v. Gonzalez, 669 N.W.2d 401 (Minn. Ct. App. 2003), to support her conclusion that the Grange policy isn’t implicated. Parr held that when damages arise from “discrete and identifiable events that occur within the policy period, the actual-injury trigger theory allows those policies on the risk at the point of initial damage to pay for all the damages that follow.”

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Unlike the federal judge who refused to protect me, the Virginia State Bar gave me a hearing. After the hearing, the Virginia State Bar refused to discipline me. VSB said that attacking me with the court ADA coordinator had, " all the grace and charm of a drive-by shooting." One does wonder why the VSB was able to have a hearing and come to that conclusion, but the federal judge in Indiana slammed the door of the courthouse in my face.

  2. what a wonderful world we are living, i still doubt this spell caster how he did it!!! i am Shechan Caroline am from Los Angeles I am so happy to let the whole word know how this powerful spell caster saved my marriage.Everything was going down the drain as my husband can not stop cheating on me with other women. It became used to always heating on me. I tried to make him stop, but I couldn't help the situation, the more I tried, the harder it becomes. At times we will fight and go apart for some months and we will come back again just because of our kids. One day a friend told me about this spell caster who helped her too, his name is Dr.oku, she said he uses white magic spells to solve spiritual problems. I decided to give it a try, I contacted him and he told me it will take just 2 to 3 days and I will see great changes in my husband. He actually cast a spell, believe me after 2 to 3 days of the spell, my husband was confessing different names of woman he has slept with. He begged for forgiveness and never to try it again. From that day till now, my mind is at rest. My husband dislike every other women on earth except me. And am so happy to have him for myself alone.The spell caster’s contact is okutemple@gmail.com or add him on whasapp +2347053113465?

  3. I agree. My husband has almost the exact same situation. Age states and all.

  4. Thanks Jim. We surprised ourselves with the first album, so we did a second one. We are releasing it 6/30/17 at the HiFi. The reviews so far are amazing! www.itsjustcraig.com Skope Mag: It’s Just Craig offers a warm intimacy with the tender folk of “Dark Corners”. Rather lovely in execution, It’s Just Craig opts for a full, rich sound. Quite ornate instrumentally, the songs unfurl with such grace and style. Everything about the album feels real and fully lived. By far the highlight of the album are the soft smooth reassuring vocals whose highly articulate lyrics have a dreamy quality to them. Stories emerge out of these small snapshots of reflective moments.... A wide variety of styles are utilized, with folk anchoring it but allowing for chamber pop, soundtrack work, and found electronics filtering their way into the mix. Without a word, It’s Just Craig sets the tone of the album with the warble of “Intro”. From there things get truly started with the hush of “Go”. Building up into a great structure, “Go” has a kindness to it. Organs glisten in the distance on the fragile textures of “Alone” whose light melody adds to the song’s gorgeousness. A wonderful bloom of color defines the spaciousness of “Captain”. Infectious grooves take hold on the otherworldly origins of “Goodnight” with precise drum work giving the song a jazzy feeling. Hazy to its very core is the tragedy of “Leaving Now”. By far the highlight of the album comes with the closing impassioned “Thirty-Nine” where many layers of sound work together possessing a poetic quality.

  5. what a wonderful world we are living, i still doubt this spell caster how he did it!!! i am Tamara Barrow am from USA I am so happy to let the whole word know how this powerful spell caster saved my marriage.Everything was going down the drain as my husband can not stop cheating on me with other women. It became used to always heating on me. I tried to make him stop, but I couldn't help the situation, the more I tried, the harder it becomes. At times we will fight and go apart for some months and we will come back again just because of our kids. One day a friend told me about this spell caster who helped her too, his name is Dr.voodoo, she said he uses white magic spells to solve spiritual problems. I decided to give it a try, I contacted him and he told me it will take just 2 to 3 days and I will see great changes in my husband. He actually cast a spell, believe me after 2 to 3 days of the spell, my husband was confessing different names of woman he has slept with. He begged for forgiveness and never to try it again. From that day till now, my mind is at rest. My husband dislike every other women on earth except me. And am so happy to have him for myself alone.The spell caster’s contact his email at: voodoospelltemple66@gmail.com visit his website on http://drvodoospelltemple.webs.com

ADVERTISEMENT