STORY FROM: Superstorm Sandy Insurance Litigation

Coverage for Materials Not Required by City Ordinances Unavailable, 5th Cir. Affirms

NEW ORLEANS — A homeowners’ insurer was not required to replace undamaged roofing materials following a hailstorm because the city ordinances did not mandate as such and only required the insurer to pay for materials actually used and repairs actually made, a federal appeals court has ruled.

On Sept. 13, the 5th Circuit U.S. Court of Appeals upheld an award of summary judgment to State Farm Lloyds, rejecting the policyholder’s argument that the policy required payment for the cost of solid decking when replacing a wood shake roof.

The roof on Kenneth Toney’s home was damaged by hail when a ...

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