The popular Law School for Insurance Professionals, sponsored by the New York State Bar Association, will be held at 6 venues throughout New York and will include discussions on common policy defenses and coverage issues under homeowner's and commercial general liability policies, evaluating claims, the present state of bad faith law in New York, the challenges of settling a civil lawsuit and will include a segment on settlement/mediation with a judge and/or arbitrator serving as a panelist.

On June 29, 2010, legislation was again introduced seeking to amend the New York No Fault law. Significantly, the legislation expands the definition of a serious injury to include
"a complete tear or rupture of a nerve, tendon, ligament, cartilage or muscle" and "a tear, rupture or impingement of a nerve, tendon, ligament, cartilage or muscle which results in a significant impairment of a body organ, member, function or system" to the "serious injury" categories under Insurance Law § 5102(d).
A copy of the legislation appears below.

In Doherty v. Merchants Mut., 2010 NY Slip Opinion 05206 (4th Dept. 2010), the court granted the insurer's motion for summary judgment dismissing the claim of bad faith against Merchants, citing Kumar v. American Transit Ins. Co.; Pavia v. State Farm Mut. Automobile Ins. Co.

As the legislative session winds to an end, the No Fault legislation reported here earlier remains alive. We are watching closely and will keep you advised of the status of the legislation which was introduced in April 2010.

I am delighted to serve as chairperson of Insurance Coverage Update 2010, sponsored by the New York State Bar Association which will be held in Melville, Long Island on June 18. The program will focus on coverage issues arising under the commercial general liability policy. To register, visit NYSBA.org

I will also serve as overall planning chair and will be lecturing at the ever popular Law School for Insurance Professionals which will be held at 5 venues in New York on September 28, 30 and October 1. I will provide additional information in the months to come.

The following bill was introduced on April 22, 2010 which would represent significant changes to the New York No Fault law, if adopted.

No Fault Bill

IIn New York State Insurance Fund v. Mount Vernon Fire Ins. Co., 09-1814cv (2d Cir. 2010) a case I litigated on behalf of NYSIF, the 2nd Circuit affirmed the decision of the Southern District holding that, under the circumstances presented, a disclaimer of coverage issued by Mount Vernon was subject to New York's timely disclaimer requirement as set forth in Insurance Law §3420(d).

On March 16, 2010, the Appellate Division, Second Department decided a case litigated by Lewis Johs' attorney, Elizabeth Fitzpatrick entitled L&B Estates, LLC v. Allstate Ins. Co. The Appellate Division reversed the grant of summary judgment issued by the trial court which had directed Allstate to defend and indemnify the plaintiff/landlord as an additional insured on a policy issued by Allstate to Century 21, a tenant at property owned by L&B.

In Wilner v. Allstate Ins. Co., decided by the Second Department on January 12, 2010 and reported at 2010 NY Slip Opinion 00248, the Second Department denied Allstate's motion to dismiss the causes of action alleging a violation of General Business Law §349, which included a claim for punitive damages and attorneys' fees, as well as dismissal of the second cause of action sounding in breach of contract based upon the insurer's refusal to provide a defense to the insured after the Village of Roslyn instituted criminal proceedings against them.

In Ponok Realty Corp v. United National Specialty Insurance Co, 2010 NY Slip op 00124 (2nd Dept 2010), the court rejected the insured’s argument that the insurer was obligated to demonstrate prejudice in order to disclaim based upon its insured’s late notice of the incident, noting that the amendment to Insurance Law 3420 requiring such a showing was not applicable, as the policy was not issued on or after January 17, 2009, as set forth in the 2008 amendment to the law.