Elizabeth Doyle | Zelle The January 2025 Southern California wildfires destroyed more than 18,000 structures, burned nearly 50,000 acres, and caused the evacuation of more than 200,000 people. One year later, thousands of residents of Altadena and Pacific Palisades whose homes did not burn have nevertheless not returned because they claim their homes are uninhabitable… Continue reading Where There’s Smoke, There’s…Direct Physical Loss?
Tag: Direct Physical Loss
Smoke and Soot Constitute Direct Physical Loss
Tred R. Eyerly | Insurance Law Hawaii The federal district court found that smoke and soot contamination rendered the property unfit for normal use, meeting the standard for “direct physical loss” under the policy language for recovery of business income. Bottega, LLC, et al. v. National Surety Corporation-Chicago, Il, 2025 U.S. Dist. LEXIS 5666 (N.D. Cal. Jan.… Continue reading Smoke and Soot Constitute Direct Physical Loss
California Courts Continue to Grapple with What Constitutes Wildfire “Direct Physical Loss or Damage”
Robyn Anderson, Nancy Sher Cohen and Michael Gonzales | Lathrom GPM Overview of Issues In Gharibian et al., v. Wawanesa General Insurance Company, the California Second District Court of Appeal found that, under California law, the insureds failed to prove smoke, soot, ash and fire debris on covered property constituted “direct physical loss to property” as… Continue reading California Courts Continue to Grapple with What Constitutes Wildfire “Direct Physical Loss or Damage”
Where There’s Smoke, Is There Coverage? A Closer Look at Bottega, LLC v. National Surety and Gharibian v. Wawanesa
Rachel E. Hudgins and Scott P. DeVries | Hunton Insurance Recovery Blog For policyholders, insurance is meant to provide peace of mind—a promise that when disaster strikes, they’ll have financial support to rebuild and recover. But as two recent cases show, the question of what qualifies as covered “direct physical loss or damage” can lead… Continue reading Where There’s Smoke, Is There Coverage? A Closer Look at Bottega, LLC v. National Surety and Gharibian v. Wawanesa
California Appellate Court Rules Wildfire Debris Does Not Qualify as “Direct Physical Loss” Under Homeowners Insurance Policy
Novera H. Ahmad | PropertyCasualtyFocus The Second Appellate District of the California Court of Appeal recently affirmed a lower court ruling that wildfire debris on an insured’s property did not qualify as “direct physical loss” within the meaning of a homeowners insurance policy, as there was no burn damage to the property. The ruling, Gharibian v.… Continue reading California Appellate Court Rules Wildfire Debris Does Not Qualify as “Direct Physical Loss” Under Homeowners Insurance Policy