STORY FROM: Superstorm Sandy Insurance Litigation

Insurer Entitled to Appraisal of Superstorm Sandy Damages, N.Y. Federal Judge Rules

NEW YORK — An insurer is entitled to an appraisal to determine the true extent of Superstorm Sandy damages to a property, a federal judge has ruled, explaining that the New York legislature has broadened the scope of issues allowable in the insurance appraisal process to include causation issues.

In a July 6 opinion, Judge Jed S. Rakoff of the U.S. District Court for the Southern District of New York also dismissed the plaintiffs’ demand for consequential damages and their bad faith claim, ruling that the insurer has acted in good faith.

Simon and Lori Zarour sued Pacific Indemnity Co. ...

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