Posts Tagged ‘post-hurricane claims’

Challenges continue for rebuilding scientific research lost in Sandy

March 14, 2013 Leave a comment

miceTrialsv2When Superstorm Sandy flooded NYU Lagone Medical Center last October, over 300 patients were evacuated from the hospital, which lost power and was later closed for nearly two months. The water also swamped the basement of the building’s research center, where 7,000 cages of research mice used for studying cancer, diabetes and brain development were housed. Researchers lost some 600 mice in the flood, most of which were specifically engineered to carry genetic mutations to mimic human conditions such as autism and other health issues.

Scientists say the cost of losing the mice will be tens of millions of dollars, and finding replacements could take another two years. While not all the mice were lost, those that survived were exposed to contaminants that affected their genetic modifications. The mice are tailor-made Read more…

Dealing with mold risks in the aftermath of Sandy

November 28, 2012 Leave a comment

Hurricane Sandy left millions of businesses and homeowners without power, facing gas shortages and with massive property destruction. The biggest threat, however, may come from mold damage left behind in flooded homes and buildings.

Already increasing at an alarming rate across the country, mold-related claims have become more public, with settlement amounts getting larger. The Alliance of American Insurers estimates that there are over 20,000 active lawsuits nationally involving mold claims filed by homeowners or building owners. That number continues to grow in the aftermath of Sandy as bacteria and mold has been left behind in homes, hotels, commercial buildings and enclosed areas that were flooded. Read more…

Post Sandy snowstorm complicates claims

November 15, 2012 Leave a comment

The post-Sandy snowstorm that hit the Northeast last week caused additional damage for many homeowners and businesses, further complicating the insurance claims process that had already begun the prior week. Snow and wind damages from last week’s nor’easter hit several states including New York and New Jersey,  delaying power outages and worsening road and rail traffic that had not yet been repaired from the effects of Sandy. This means ongoing trouble and further delay in negotiations between commercial policy holders and insurance companies over coverage issues.

Many adjusters were still in the process of identifying losses from Sandy when the second storm hit, making it increasingly difficult to determine which storm caused what damage to properties. Experts say the most significant questions are likely to surround business interruption Read more…

Sandy coverage update: ACC and FEMA guidelines

November 12, 2012 Leave a comment

The latest estimates of insured losses from Hurricane Sandy have reached nearly $15 billion, mostly triggered from flood and wind perils. As insurers face a growing number of claims filed by homeowners and businesses, policyholders should review their policies carefully to check for specific carve-outs and exclusions. Among the most important to note are anti-concurrent causation clauses, (ACC) provisions which allow insurers to deny claims based on excluded causes like flooding, if they occur at the same time as other covered causes, such as wind damage. These clauses, invoked in the aftermath of Hurricane Katrina, aim to protect insurers from facing greater liability than the coverage they provided, but can leave consumers with little to no coverage and exorbitant costs. There are a variety of formulations of these clauses, depending on the insurer Read more…

Law firms learn the importance of off-site power in wake of Sandy

Tuesday’s AmLaw Daily highlights the significant impact many law firms have suffered since the arrival of Sandy.  The impact of the super storm is being felt all along the east coast and many firms’ disaster recovery plans are being put to the test. The advancements in technology in recent years have allowed firms to easily conduct business at remote locations, therefore the impact with such a storm to daily workflow is not given much attention.  In general, the idea is that if the office is closed, attorneys and other employees can just work from home by linking into firm servers remotely.  However with such widespread power outages impacting such a large region all at once, the revenue streams of many east coast firms are at risk.

The majority of losses for law firms will have two potential areas to recoup loss of revenues due to Sandy. The first is Business Interruption coverage (also known as Business Income Insurance or “BI”). Business Interruption covers the loss Read more…

Post-Sandy, lower deductibles for homeowners

November 1, 2012 Leave a comment

The latest development in responding to damage from Hurricane Sandy is some good news for policyholders, particularly those of Homeowners Insurance. As reported today in the New York Times, governors in the major affected states have ruled that the storm did not constitute a hurricane and as such, the higher hurricane deductibles will not apply.

In many cases, these deductibles are many times the ‘non-hurricane’ deductibles used for most claims.  In the states of New Jersey, New York, Connecticut and Maryland, insurers cannot enforce costly hurricane Read more…

Left in the dark – hurricane service interruption claims

When a hurricane or tropical storm hits, it’s easy to determine whether your assets suffered physical loss or damage almost immediately, with tree limbs puncturing a roof, broken glass or water showing up inside a building. But what if your facility didn’t suffer physical damage but you still could not operate due to lost power? Or a large quantity of temperature-sensitive property spoiled due to a loss of power of a refrigeration system? If a loss of utility services was the result of a peril that occurred at the premises of the utility provider, and is otherwise covered by your property insurance policy, you may have coverage for your resulting property damage or business interruption loss.

This coverage, called Off Premises Utility Services or Service Interruption, is intended Read more…