(Absent Direct Physical Loss Sustained by Property, Business Income Coverage Is Not Afforded by Property Policy)

(The Phrase “Oral or Written Publication, In Any Manner, of Material That Violates a Person’s Right of Privacy” is Ambiguous, Such That It Can Include TCPA Claims Based on the Violation of the Right to Seclusion)

(Habitability Exclusion Applied to Exclude Coverage of Lawsuit Alleging Non-Habitability Claims That Were Included With Habitability Claims)

Hermanson sued Century National alleging causes of action for 1) breach of contract, 2) breach of the implied covenant of good faith and fair dealing, and 3) unfair claims practices (pursuant to NRS 686A.310) for its failure to defend and indemnify him in relation to an underlying lawsuit. Century National removed the case to federal court and asserted a counterclaim for declaratory relief. 

In Arizona, plaintiffs will often file coverage and bad faith matters in state court. Defendant insurers then typically seek to remove those matters to federal court, which is generally considered a better forum for insurance companies for a variety of reasons. Federal subject matter jurisdiction is almost always asserted through the diversity of citizenship of the parties.

There are two theories of coverage for uninsured/underinsured motorist (UM/UIM) coverage in the U.S.: (1) gap theory and (2) excess theory or floating layer theory. New Mexico is a gap theory jurisdiction with a recent twist.

(Complaint Alleged Sufficient Facts Regarding Physical Loss Caused by COVID-19, Such That Order Dismissing Case Based on Demurrer Required Reversal Thereof)

(COVID-19 Losses Resulting From Closure Orders And Presence of Virus Itself Does Not Constitute “Direct Physical Loss Or Damage”)