Fla. Sinkhole Rulings Could Be Pitfall For Defiant Insurers

Law360, New York (September 5, 2012, 9:38 PM EDT) -- Another court in Florida has ruled that a 2011 statute that provides a narrow definition of "structural damage" cannot be applied retroactively to limit coverage for sinkhole-related property damage, strengthening bad faith claims against insurers that ignore the finding, policyholder attorneys say.

U.S. District Judge James Moody Jr. turned down a summary judgment motion by Liberty Mutual Fire & Insurance Co. in a dispute with a homeowner over sinkhole coverage, joining another federal judge in Florida and a state court in refusing to retroactively apply a...
To view the full article, register now.