Insurance: FIGA, Statutory Cap, Blanket Coverage, Specific Coverage, Schedule of Property Values Renders Coverage Specific Rather Than Blanket

Florida Insurance Guaranty Association v. B.T. of Sunrise Condomiumium Association, Inc., ___ So. 3d ___, 35 Fla. L. Weekly D2124 (Fla. 4th DCA 9/22/10)

FIGA assumed the liability of an insolvent insurance company that insured a condominium association with seven buildings that were damaged by Hurricane Wilma.  FIGA contended that the damage to all seven buildings constituted a single claim and that its liability was limited to the statutory cap of $300,000.  The trial court ruled that the association possessed seven claims and that a separate cap applied to each claim.  The appellate court affirmed because the insolvent insurance company provided specific, rather than blanket, coverage to the association.  Blanket coverage is provided when the policy contains an aggregate value for several insured buildings.  Specific coverage is provided when the policy provides a specific amount of coverage for each building.  In this case, the policy “spoke in terms of separately scheduled buildings.  The schedule of property values, which was included in the . . . insurance policy, made the coverage specific, not blanket.  Since each building was separately listed on the declarations page, with a separate covered amount and separate premiums listed for each building, each of these seven separate claims should have its own statutory cap of $300,000.”