Recently, a New York-based home and auto insurance carrier took a strong public position regarding gun ownership that should have gun owners carefully reviewing their homeowner’s insurance policies.
In a post on its company website, the carrier announced that their homeowner’s policies would limit firearms coverage to $2,500. They recommended that their customers who needed more than this “entirely adequate” limit should try one of their competitors. They went on to state: “…we’re not into gun worship.”
The insurance carrier did point out that their restrictive stance on firearms is in keeping with their corporate philosophy of promoting social good. Altruism aside, though, insurance carriers across the country are becoming keenly aware of the impact expensive gun liability lawsuits can have on their bottom line.
A Florida-based homeowner’s insurance company recently denied a liability claim against its policyholder being sued because he lent his firearm to his sister. The sister used the gun to commit an act of violence. The victim brought a lawsuit against the gun owner for negligently entrusting the gun to the sister. In denying the claim, the insurance carrier cited a “physical abuse” exclusion within the policy. A Florida Appeals Court generously agreed with the insurance carrier’s broad interpretation of their exclusion even though the gun owner did not personally commit the act.
Homeowners with insurance coverage through Bukaty Companies receive personalized coverage consultation from a professional agent. We’ll explain to you what’s covered in your policy, and we’ll provide real solutions for what’s not.
To learn more, contact our Personal Lines Sales Manager, Shane Davis. sdavis@bukatyagency.com.