Dallas Fort Worth Insurance Lawyer Blog

Commercial Policy Coverage – What’s Covered?

January 15, 2011 | Mark S. Humphreys

Business owners in Dallas, Mesquite, Duncanville, Grand Prairie, Fort Worth, De Soto, Arlington, Mansfield, Seagoville, Rowlette, and other places in Texas may ask the same question. What ends up happening when a loss occurs in the business, is that the business owner calls his insurance company and makes a claim, then the insurance company tells that business owner that the type of loss that was incurred is not the type of loss that is covered under the commercial insurance policy.

The Aspen Daily News has reported a story that follows the above scenario. The title of the article is, “Jimmy’s Sues Insurance Company Over Bombed-Out 2008 New Years Eve.” The articles author is Brent Gardner-Smith.

Jimmy’s is a restaurant in Aspen, Colorado.

Home Owners And Dog Bites

January 13, 2011 | Mark S. Humphreys

A lot of people in Fort Worth, Arlington, Colleyville, North Richland Hills, Keller, Roanoke, Azle, Aledo, Weatherford, Dallas, Grand Prairie, and other places in Texas own dogs. So, what does it matter?

Here is one answer to that question. It could result in your homeowners insurance being cancelled or at the least, it might result in increased premiums for your homeowners insurance policy unless you get rid of the dog. The type of dog will also make a difference in whether or not it affects you.

The Palm Beach Post ran an article back on August 6, 2010. The article was written by Laura Green and is titled, “Insurers Turning Down Coverge For Homeowners With ‘Bully’ Dog Breeds.”

Who Buys Life Insurance?

January 11, 2011 | Mark S. Humphreys

Most people in places like Arlington, Grand Prairie, Dallas, Fort Worth, Mansfield, Benbrook, Burleson, Crowley, Granbury, and other places in Texas will have some sort of life insurance. But how true is that statement?

The Wall Street Journal published on article on October 3, 2010, titled, “Shift to Wealthier Clientele Puts Life Insurers in a Bind”. The article was written by Mark Maremont and Leslie Scism.

This article tells how the life insurance industry has enjoyed beneficial tax treatment for its products for most of the century. Whenever Congress tried to change the tax treatment enjoyed by beneficaries of the policies the life insurance companies could always holler: We protect widows and orphans.

Is A Release Valid

January 9, 2011 | Mark S. Humphreys

A person in Dallas, Fort Worth, Grand Prairie, Arlington, Bedford, Hurst, Euless, Boyd, or any other place in Texas may wonder about the validity of any release they are presented with. Sometimes they are valid and binding and sometimes they are not.

Some guidance about the validity of release can be found in the case styled, Ranger Insurance Company v. John Ward, et al. This is a 2003, case decided by the Texarkana Court of Appeals.

Here are some facts:

Ways Insurance Companies Try To Keep From Paying

January 8, 2011 | Mark S. Humphreys

Insureds in Grand Prairie, Arlington, Dallas, Fort Worth, Richardson, Garland, Mesquite, Carrollton, Irving, Mansfield, Weatherford, Aledo, Azle, and all other cities in Texas may want to be aware of one of the ways an insurance company will try to keep from paying on a claim.

There are many things an insurance company might do and regardless of which one of the many things they may try, the best advice for someone to take is: Consult with an experienced Insurance Law Attorney if it ever happens to you.

One of the things an insurance company might do is file a declaratory judgment action, also called a “dec action”, to have a court declare as a matter of law that there is no coverage on the policy that is at issue.

Sueing The Other Guy’s Insurance Company

January 6, 2011 | Mark S. Humphreys

Here is info for someone in Arlington, Grand Prairie, Dallas, Fort Worth, Mansfield, Garland, Mesquite, Richardson, and other places in Texas to think about.

Normally, an injured party cannot sue the other guy’s insurance company. Any lawsuit is brought against the person who caused the injury or damages and then that person turns the claim over to their own insurance company to defend or pay the claim to the injured party.

Here is a case for thought on this subject. Ben P. Perez and Minerva B. Perez v. Catlin Specialty Insurance Company f/k/a Wellington Specialty Insurance Company. This is a United States District Court for the Western District of Texas case. The opinion was issued on December 20, 2010.

Total Disability Claim

January 4, 2011 | Mark S. Humphreys

Lots of people in Arlington, Grand Prairie, Fort Worth, Dallas, Mesquite, Garland, Richardson, Burleson, Benbrook, Crowley, and other places in the Dallas-Fort Worth metroplex area have purchased insurance policies that provide payment to them in the event they become disabled and are unable to work. A natural question would be: What happens if the insurance company denies a claim for disability benefits because of total disability and the case goes to trial?

This is what happened in the case styled, Occidental Life Insurance Company of California v. Robert L. Duncan. This case was decided by the San Antonio Court of Appeals in 1966.

The record in this case shows that Duncan was engaged in the selling of labels as an independent contractor for Louis Roesch Company on a commission basis. Louis Roesch Company manufactures labels and Duncan sells them, generally to canners. He has been in the label selling business for some twenty years. He was in an airplane accident on October 25, 1957, and was rather severly injured, Occidental Life Insurance Company of California, (Occidental) paid him for total disability from the time of the accident until September, 1963, when it stopped payment. Duncan sued.

Incontestibility In Life Insurance Policies

January 2, 2011 | Mark S. Humphreys

People with life insurance policies in Fort Worth, Dallas, Grand Prairie, Arlington, Hurst, Euless, Bedford, Lake Worth, Benbrook, Burleson, and other places in Texas may wonder if the life insurance company can contest their life insurance after purchasing it. Here is some guidance on this issue.

The Texas Insurance Code addresses incontestibility clauses in atleast two separate places in the insurance code. The first one is in Sections 705.101 and 705.105. Of these five statutes, four deal generally with this issue, while 705.104 is more direct. It says:

“A defense based on a mispresentation in the application for, or in obtaining, a life insurance policy on the life of a person in or residing in this state is not valid or unenforceable in a suit brought on the policy on or after the second anniversary of the date of issuance of the policy if premiums due on the policy during the two years have been paid to and received by the insurer, unless:

Exclusions In Commercial Policies

December 30, 2010 | Mark S. Humphreys

Business persons in Dallas, Fort Worth, Grand Prairie, Arlington, Mansfield, Burleson, Cleburne, Weatherford, Mesquite, Garland, Richardson, or any other location in Texas will usually have a commercial insurance policy covering their business. The policies they have are usually referred to as commercial general liability (CGL) policies. The following case looks at a problem one insured had with coverage and serves as an example of why a business person should try to understand what the coverages and exclusions are in any policy of insurance that money is spent on.

The Court of Appeals, Dallas, issued an opinion on November 22, 2010, styled, Frito-Lay, Inc. v. Trinity Universal Company, Trinity Universal Insurance Companies, Trinity Lloyd’s Insurance Company, and Unitrin Property and Casualty Insurance Group. In this case the court eventually ruled in favor of the various insurance companies and against Frito-Lay based on exclusions in the insurance policy.

Here is some background. Adampac, a food packaging company, obtained a CGL policy from Lloyd’s and a commercial excess policy from Universal. During the policy period, Frito-Lay hired Adampac to repackage a Frito-Lay food product to be used in consumer testing. During the repackaging process, the Frito Lay product became contaminated or adulterated with a foreign substance from another product Adampac was packaging for another customer. The foreign substance was a wintergreen flavoring used in a non-tobacco product similar to snuff. Because of the contamination, the Frito-Lay product could not be used for consumer testing.

Sueing An Insurance Company

December 28, 2010 | Mark S. Humphreys

Can I sue the insurance company? Someone in Dallas, Fort Worth, Grand Prairie, Arlington, Mansfield, De Soto, Irving, Mesquite, Garland, Carolton, Farmersville, Weatherford, or anywhere else in Texas might ask that question. The answer is the same lawyer answer that a person gets on most legal questions: It depends.

When someone talks of sueing an insurance company that can usually mean one of two things. First, when a person wants to sue their own insurance company, that is something that can be done, assuming the insurance company has committed some wrong against you. This is called a “first party” claim.

When a person has a “third party” claim, then they cannot sue the insurance company. The most normal scenario for this is a car wreck. Usually someone causes a wreck with you, they give you their insurance information, you contact that insurance, that insurance company starts giving you the run around. The result of all this is that you want to sue the guys insurance company. You can’t. This is a third party claim and if you want to sue someone, then you have to sue the person who caused the wreck – not his insurance company. This is a “third party” claim.