In Lieb v. Allstate, the 3rd Circuit Court of Appeals affirmed district court rulings 1.) denying the insured’s remand motion after Allstate removed the case from state court; and 2.) affirming dismissal of breach of contract claims under an automobile insurance policy, finding the insured’s waiver of UM/UIM coverage to be valid under the Pa.M.V.F.R.L.
The district court properly looked to assessing jurisdictional amount as of the time of the removal, the appeals court found. At that time, the Plaintiff’s complaint contained a claim for insurance bad faith, thus taking the value of the case in excess of the $75,000 jurisdictional limit.
The appeals court also affirmed the dismissal of the insured’s suit for UM/UIM benefits, finding a signed waiver form in compliance with Pa. law.
Lieb v. Allstate (3rd Cir. 2016)
New Jersey Governor Chris Christie has signed legislation which makes it expressly illegal to request the issuance of certificates of insurance which contain false or misleading information. Click on link below for full text of bill.
New Jersey Bill S-3270
In Gamez v. Ace American Insurance Company, the US Court of Appeals for the 11th Circuit upheld Ace American’s voiding a policy covering a $32 million yacht after ACE established the insured made material misstatements concerning ownership of the boat in the application for coverage.
The Court held that the insured attempted to confuse two separate sections of a Florida statute covering material misrepresentations, one permitting the voiding of a policy for material misrepresentations in the application, and the other holding that post-coverage misrepresentations would not void coverage unless the misrepresentations were material.
Gamez v. Ace American Insurance Company (U.S. Ct. App., 11th Cir., 2016)
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