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Mealey's Catastrophic Loss

  • February 06, 2026

    Federal Jury: Insurer Acted In Bad Faith, Owes Church $2.8M In Additional Coverage

    NEW ORLEANS — A jury before a Louisiana federal judge on Feb. 5 held that an insurer acted in bad faith in its handling of the church insured’s claim arising from Hurricane Ida property damage, concluding that the insurer owes the insured $2,818,230.66 in additional coverage for its claim, $371,265 for the insurer’s bad faith and $371,265 for the insurer’s failure to timely pay.

  • February 06, 2026

    Owner Of Storm-Damaged Texas Buildings Files Complaint Alleging Insurer Underpaid

    DALLAS — The owner of Texas commercial buildings that were damaged during a 2024 winter storm sued its commercial property insurer in a state court alleging breach of contract and violations of the Texas Deceptive Trade Practices Act (DTPA) for “significantly” underpaying its damages claim “based on the insufficient inspection with the intention of minimizing its liability.”

  • February 06, 2026

    Federal Judge Tosses Flood Coverage Suit Against FEMA For Lack Of Jurisdiction

    ORLANDO, Fla. — A federal judge in Florida granted the Federal Emergency Management Agency’s amended motion to dismiss an insured’s breach of contract lawsuit seeking coverage for flood damage caused by a hurricane, holding that under the doctrine of derivative jurisdiction, the court lacks subject matter jurisdiction and noting that other federal district courts have rejected the insured’s assertion that the court “could simply recharacterize the basis of removal” from 28 U.S. Code Section 1442(a)(2) to Section 1441.

  • February 05, 2026

    5th Circuit Affirms Another Denial Of Insurers’ Bid To Arbitrate Hurricane Claims

    NEW ORLEANS — In the latest of multiple rulings in which the Fifth Circuit U.S. Court of Appeals has reversed course from its prior precedent and proceeded to bar arbitration of Louisiana hurricane insurance disputes following new Louisiana Supreme Court precedent, a panel on Feb. 4 issued a per curiam unpublished opinion affirming the vacatur of a previous order compelling arbitration of insurance and bad faith claims arising out of hurricane damage to a hotel.

  • February 05, 2026

    Insured Granted Summary Judgment On Interpretation Of Policy’s ‘But For’ Term

    DALLAS — On remand from the Fifth Circuit U.S. Court of Appeals, a Texas federal judge partially granted a motion for summary judgment filed by Southwest Airlines Co. in a dispute over excess coverage for income losses sustained by the airline as a result of a computer system failure in 2016, agreeing with a magistrate judge’s conclusion that the term “but for” as used in the excess policy’s definition of loss must be interpreted as meaning “except for.”

  • February 04, 2026

    Storm Damage Coverage Suit Dismissed Following Settlement Of Insured’s Claims

    WACO, Texas — A Texas federal judge granted a joint stipulation of dismissal in a storm damage coverage suit and dismissed the insured’s claims against a homeowners insurer with prejudice after the parties reached an undisclosed settlement.

  • February 02, 2026

    5th Circuit Affirms Ruling In Favor Of Insurer In Bad Faith Coverage Dispute

    NEW ORLEANS — The Fifth Circuit U.S. Court of Appeals on Jan. 30 affirmed a lower federal court’s grant of summary judgment in favor of an insurer in a breach of contract and bad faith lawsuit, holding that the insured failed to provide evidence suggesting hail occurred within the relevant policy period and, as a result, did not establish a genuine dispute of material fact regarding whether covered damage occurred.

  • January 30, 2026

    Texas Panel Dismisses Pro Se Insured’s Appeal In Suit Over Hail, Wind Damage

    EDINBURG, Texas — After a pro se insured moved to dismiss his appeal, noting that the controversy had settled, a Texas appeals panel dismissed the appeal in the insured’s lawsuit that was on remand from the Texas Supreme Court and sought damages for the Texas Windstorm Insurance Association’s alleged improper denial of coverage for hail and windstorm damage to his beachfront condominium that was caused by Hurricane Harvey and a subsequent storm, ending.

  • January 29, 2026

    6th Circuit Affirms Dismissal Of Retailer’s Coverage Suit Prompted By COVID-19

    CINCINNATI — The Sixth Circuit U.S. Court of Appeals affirmed a lower federal court’s grant of an insurer’s motion to dismiss a women’s fashion retailer’s breach of contract and declaratory judgment lawsuit seeking business interruption coverage for its losses arising from the COVID-19 pandemic, holding that the lower court did not err when it refused to evaluate the policy at issue under the law of each of the 22 states where the insured claimed losses.

  • January 29, 2026

    Status Conference Date Set In Hurricane Coverage Dispute Involving LIGA

    BATON ROUGE, La. — Without providing explanation, a Louisiana federal magistrate judge set a status conference to address depositions that were canceled but not rescheduled in homeowners’ Hurricane Ida coverage dispute with an insurance carrier participating in the U.S. government’s National Flood Insurance Program (NFIP) and the Louisiana Insurance Guaranty Association (LIGA).

  • January 28, 2026

    5th Circuit: No Jurisdiction Over Insurers’ Bid To Arbitrate Hurricane Claims

    NEW ORLEANS — A Fifth Circuit U.S. Court of Appeals panel ruled that it lacks subject matter jurisdiction over an appeal brought by domestic insurers against a Louisiana political subdivision that brought claims for hurricane insurance coverage, citing a Louisiana Supreme Court ruling arising out of certified questions from the same case and recent Fifth Circuit precedents holding that state law prohibits arbitration of such disputes.

  • January 28, 2026

    Federal Judge Denies Insured’s Motion To Vacate Rulings In Flood Coverage Dispute

    NEWARK, N.J. — A federal judge in New Jersey denied an insured’s motion to vacate three prior dismissal orders in a coverage dispute over damage following severe thunderstorms and massive flooding, holding that the motion to vacate is untimely substantively and rejecting the insured’s argument that his neglect was excusable.

  • January 27, 2026

    Judge: Insured Failed To Watch Clock Set By Government In Hurricane Ian Flood Suit

    FORT MYERS, Fla. — A federal judge in Florida on Jan. 26 granted an insurer’s motion to dismiss an insured’s suit seeking coverage under her Standard Flood Insurance Policy (SFIP) as untimely, holding that the insured missed the government’s one-year deadline to file her breach of contract complaint “by a wide margin.”

  • January 26, 2026

    Parties Dismiss 1 Insurer In Maui Wildfire Coverage Dispute 5 Days Before Trial

    MAUI, Hawaii — Five days before their scheduled trial, parties asked a Hawaii court to dismiss with prejudice all claims against one of the defendant insurers in the insureds’ bad faith action alleging that the insurers’ subrogation lawsuit seeking to recover compensation for the payments that they made to victims of the Aug. 8, 2023, Maui wildfires is “unfair, inequitable, and unlawful” because they “seek to take money away from their premium-paying insureds who are the real victims of the Maui Wildfires without showing that these victims have been fully compensated.”

  • January 23, 2026

    Judge Denies Summary Judgment To Insured In Fire Coverage Dispute With State Farm

    EUGENE, Ore.  — An Oregon federal judge denied summary judgment to an insured who sued her homeowners insurer for breach of contract for its alleged failure to cover her fire-related losses, finding that “there is a genuine issue of material fact” whether the insurer, which raised the fraud defense, “detrimentally relied on the alleged misrepresentations” regarding how the fire started.

  • January 23, 2026

    Fla. Panel Affirms Judgment For Insurer In Dispute Over Water Mitigation Coverage

    WEST PALM BEACH, Fla.  — Without providing explanation, a Florida appellate court affirmed a lower court’s final order granting summary judgment for an insurer in a breach of contract dispute with a water mitigation company after the lower court found in part that the assignment agreement by the insured to the water mitigation company was invalid for failure to comply with Florida law requirements to have an itemized list of services to be performed.

  • January 23, 2026

    Hurricane Coverage Suit To Proceed; Property Insurer’s Motion To Dismiss Denied

    VALDOSTA, Ga. — An insured’s breach of contract and bad faith claims alleged against a property insurer in a dispute over coverage owed for damages from Hurricane Helene can proceed because the insured’s complaint includes sufficient details to support the claims, a Georgia federal judge said in denying the insurer’s motion to dismiss.

  • January 21, 2026

    Colorado Supreme Court Partly Grants Certiorari In Coronavirus Coverage Dispute

    DENVER — The Colorado Supreme Court on Jan. 20 partly granted a retirement communities owner insured’s petition seeking review of a Colorado appeals court majority’s opinion that partly reversed a lower court’s ruling in favor of the insurer in the insured’s lawsuit seeking coverage for its losses arising from the coronavirus pandemic.

  • January 20, 2026

    5th Circuit: Insured Fails To Show Nonfrivolous Issue For Appeal In Hurricane Suit

    NEW ORLEANS — The Fifth Circuit U.S. Court of Appeals on Jan. 19 dismissed “as frivolous” an insured’s appeal of a lower federal court’s dismissal of a lawsuit seeking coverage for flood and property damages caused by hurricanes Zeta and Ida, rejecting the insured’s attempt to proceed in forma pauperis.

  • January 20, 2026

    6th Circuit Affirms Ruling In Insurer’s Favor In Suit Arising From Building Collapse

    CINCINNATI —The Sixth Circuit U.S. Court of Appeals on Jan. 16 affirmed a lower federal court’s grant of summary judgment in favor of an insurer in an insured’s lawsuit alleging that the insurer’s misrepresentations that it had full coverage makes the insurer liable for $1.3 million in code-compliance costs that exceeded the policy limit, concluding that the insured failed to demonstrate that the insurer “owed a separate-and-distinct duty to advise” or that the insured “reasonably relied on” the insurer’s alleged misrepresentations.

  • January 16, 2026

    Florida Panel Affirms Ruling In Wind Insurer’s Favor In Hurricane Irma Coverage Suit

    MIAMI — A Florida appeals panel affirmed a lower court’s judgment in favor of a named-peril insurer in a coverage dispute arising from Hurricane Irma damage, holding that the lower court did not abuse its discretion in admitting evidence of the insureds’ flood claim and receipt of benefits from their flood insurer.

  • January 16, 2026

    Fla. Panel Reverses Order As To Attorney Fees In Settlement Agreement With FIGA

    MIAMI — A Florida appeals court reversed and remanded a lower court order requiring the Florida Insurance Guaranty Association (FIGA) to pay the full amount of a settlement agreement between homeowners and their now-insolvent insurer in a hurricane damage coverage dispute, finding that the lower court erred in requiring FIGA to pay the attorney fee portion of the settlement agreement because it was not part of a covered claim pursuant to Florida law regarding FIGA.

  • January 15, 2026

    Sworn Proof Of Loss Is ‘Linchpin’ Of Claims Process, Judge Says In Hurricane Suit

    FORT MYERS, Fla. — A federal judge in Florida on Jan. 14 held that when a condominium building owner insured neglected to submit a signed and sworn proof of loss for its alleged additional damages caused by Hurricane Ian, it failed to satisfy a nonnegotiable condition precedent under its Standard Flood Insurance Policy (SFIP) and “a stack of invoices” or a “belief that the insurer knew enough” cannot “substitute for the strict compliance that federal law demands.”

  • January 15, 2026

    Insureds Allege FAIR Plan Mishandled, Underpaid Wildfire Smoke Claims

    LOS ANGELES — A pair of property insurance policyholders sued the California FAIR Plan Association in state court, alleging that the association breached statutory coverage requirements and engaged in bad faith claims handling by relying on policy provisions that impermissibly restricted coverage for wildfire smoke contamination and loss-of-use claims stemming from the January 2025 Los Angeles wildfires.

  • January 15, 2026

    Judge: Denial Letter Triggered Statute Of Limitations In Hurricane Ian Dispute

    FORT MYERS, Fla. — A federal judge in Florida held that an insurer’s partial denial letter triggered the one-year statute of limitations under a Standard Flood Insurance Policy (SFIP) and that, as a result, the insured’s breach of contract lawsuit seeking coverage for its flood damage arising from Hurricane Ian is untimely.