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City Not Covered For Squirrel Shock Mishap: Iowa Court

Law360 (March 7, 2018, 10:53 PM EST) -- A city in Iowa can’t make its insurer pay for equipment that was damaged “when a gray squirrel scampered into an electrical substation” and made contact with a 7,200-volt circuit, a state appeals court ruled Wednesday, finding coverage for the violent electrical arcing that ensued is barred by an “electrical currents” exclusion.

The city of West Liberty sued Employers Mutual Casualty Co. after the insurer refused to pay for the 2014 incident, but on summary judgment a trial court sided with Employers, citing the “electrical currents”...
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