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Expert Analysis

A Right To Recover Consequential Damages In NY

Law360 (April 14, 2009, 12:00 AM EDT) -- One of the more significant developments of 2008 in New York insurance law came courtesy of two companion decisions by the state's highest court which held that, in addition to recovering policy proceeds, policyholders may recover consequential damages resulting from an insurer's breach of a policy, at least in certain circumstances where the insurer is found to have breached its duty of good faith and fair dealing and the damages were foreseeable and quantifiable. Bi-Economy v. Harleysville Ins. Co. of NY and Panasia Estates v. Hudson Ins. Co.[1]...

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