Month: July 2024

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Property in 60 Seconds: Massachusetts Supreme Court Addresses Surface Water

On July 23, 2024, the Massachusetts Supreme Judicial Court held that an accumulation of rainwater on a roof is not considered “surface water.”  Regarding a flood sublimit in a commercial policy, the policyholder argued that surface water only included water that reaches the surface of the earth.  In contrast, the insurer argued that the term …

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Property in 60 Seconds: Michigan Department of Insurance and Financial Services Addresses Depreciation of Labor

On July 3, 2024, the Michigan Department of Insurance and Financial Services (DIFS) issued a bulletin, which expressly prohibits insurance companies from depreciating labor when calculating actual cash value (ACV), unless the insured as agreed to the depreciation of labor in exchange for a lower premium.  According to DIFS: ACV is ordinarily understood to mean …

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