Swanny of Hugo, Inc, Catherine Anderson vs Integrity Property and Insurance Company, Corporate 4 Insurance Agency, Inc.
Jan 22, 2013OUTCOME: Successful dismissal of insurance agent client on Summary Judgment
Swanny of Hugo, Inc. dba Carpenter’s Steakhouse is the insurance customer of Dan Gutlovics, a producer at Corporate 4 Insurance Agency. Carpenter’s Steakhouse purchased a package policy with Integrity ... Mutual. The policy incepted December 31, 2008 and renewed on December 31, 2009. Carpenter’s Steakhouse sustained a fire on January 3, 2010. It was a total loss. Integrity Mutual paid various insurance monies to Carpenter’s Steakhouse for the loss but Integrity denied business income/extra expense payments. Integrity denied BI/EE payments because Integrity’s forensic accountant determined that Carpenter’s Steakhouse’s projected net operating loss is in excess of the continuing normal operating expenses incurred during the period of 12 months restoration. Integrity therefore determined that Carpenter’s Steakhouse did not experience a business income loss. Integrity projected a total net operating loss of $60,960 during the period of restoration. Integrity could verify $36,067 of continuing normal operating expenses incurred during the period of restoration. Integrity determined that Carpenter’s Steakhouse did not incur payroll expense after the date of loss. Integrity therefore also denied payment of extra expense monies.
