5th Circ. Ruling Aids Policyholder Deductible Calculations

By Tae Andrews (October 7, 2021, 3:32 PM EDT) -- A recent decision from the U.S. Court of Appeals for the Fifth Circuit spotlights an issue that has tremendous importance for policyholders: how to calculate the applicable deductible under property insurance policies where that deductible is presented as a percentage of the risk insured. Depending on how the deductible is calculated, a policy may provide millions of dollars in coverage — or none at all.

In McDonnel Group LLC v. Starr Surplus Lines Insurance Co., the Fifth Circuit grappled with the question of how to calculate a flood deductible under builder's risk policies.[1] The decision provides guidance for other policyholders with...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!