May 2022

Wayne Taylor and Sarah MacKimm obtained an order granting summary judgment on behalf of Covington Specialty Insurance Company in the United States District Court for the Middle District of Tennessee. This matter involved a claim by the insured for coverage under an insurance policy issued by Covington for damages suffered as a result of a fire that occurred on April 4, 2020. However, the policy had been canceled, effective 12:01 a.m. on April 4, 2020, at the request of the insured’s premium finance company because the insured failed to make his insurance premium payments. The court ruled that the premium finance company had the authority under the finance agreement it had with the insured to cancel the policy. Because the fire occurred after the date and time of the policy’s cancellation requested by the premium finance company, the court found there was no coverage in effect at the time of the fire.