Does being a non-admitted carrier or excess and surplus lines carrier change the application of the valued policy
Mississippi also has a Valued Policy
Law, which provides "when buildings and structures are insured against loss by fire and, situated within this state, are totally destroyed by fire, the company shall not be permitted to deny that the buildings or structures insured were worth at the time of the issuance of the policy the full value upon which the insurance is calculated, and the measure of damages shall be the amount for which buildings or structures were insured.
While discussion of the earlier version of the valued policy
law is largely an academic exercise, Mr.
McKenzie, co-author of the treatise, "Louisiana Insurance Law & Practice," noted that since Louisiana's valued policy
law was re-enacted in 1992, "there's been no reported decision" interpreting its language.
Whether you work in Florida or not, the analysis of the lessons learned from the catastrophic 2004 season can enrich your understanding of business interruption coverage claims, valued policy
law, the S0percent rule, and separating bona fide losses from voluntary business decisions.
Since the amount of potential recovery is agreed to before a loss occurs, a valued policy
also may be easier to apply when handling a claim.
In valued policy
states, generally, insurance law requires that in case of a total loss to an insured building by a peril specified in the law, the amount stated in the policy declarations is considered the value of the structure at the time of the loss and is payable in full.
It is my opinion that numerous issues that are raised by the author, John Garaffa, appear to be aimed at distorting Florida's valued policy
law to the disadvantage of policyholders.
Florida's Valued Policy
Law" (April) is a tale of two articles: First, the author, Mr.
In the midst of this examination is Florida's valued policy