Florida Insurance Guaranty Association, Inc. v. Karelas, ___ So. 3d ___, 37 Fla. L. Weekly D1678 (Fla. 3d DCA July 18, 2012)
The defendant in a personal injury case was insured by a surplus lines carrier, which merged with a licensed carrier before the accident occurred. When the licensed carrier became insolvent, FIGA assumed the insured’s defense until it discovered the status of the original insurer. The appellate court held that the insured did not have a covered claim because “there [was] no evidence that any FIGA assessments were levied or paid on [the insured’s] policy.” “Had the [licensed carrier] sought to convert the [surplus lines] policies to domestic policies after the merger, it could have simply reissued or renewed those policies and charged an additional premium to cover the cost of the FIGA assessments.” Judge Schwartz dissented.