Advance Cable Co., LLC v. Cincinnati Ins. Co.

In 2010, Advance obtained a policy from Cincinnati Insurance on Middleton properties. After a 2011 hailstorm, Larson, Advance’s president, filled out a form reporting damage. Larson inspected the roof with Jorgenson, a Cincinnati claims representative. Jorgenson’s estimate “note[d] some dents to soft metal roof vents and AC fins but stated that he “did not observe any damage to roofing.” Jorgenson estimated $1,894.74 for repairs and sent Larson a check, calculating a $1,000 deductible. Six months later, Advance was considering selling the building. The potential buyer, Welton, had the roof inspected. The inspector’s report prompted Advance to ask Jorgenson to reopen Advance’s claim. He arranged for a new inspection. The resulting report noted roof panel denting that “will not affect the performance of the panels (roofs) or detract from the panels[’] (roofs[’]) life expectancy.” Months later, Advance sold the building, without any further developments relating to its claim. Advance sued. The district court held that the policy did cover the hail damage, but that Cincinnati’s refusal to acknowledge coverage was not in bad faith. The parties stipulated to the cost of a replacement roof, $175,500. The court entered a final judgment in that amount in favor of Advance. The Seventh Circuit affirmed. View "Advance Cable Co., LLC v. Cincinnati Ins. Co." on Justia Law