Ohio Rules Insured Cannot Seek Full Indemnity Under Single Policy Over Multiple Policy Periods: But Court Cautions Application in Other Cases

In Lubrizol Advanced Materials, Inc. v. Natl. Union Fire Ins. Co. of Pittsburgh, PA., Slip Opinion No. 2020-Ohio-1579, the Ohio Court answered the following certified question regarding insurance coverage in the negative:

Whether an insured is permitted to seek full and complete indemnity, under a single policy providing coverage for “those sums” the insured becomes legally obligated to pay because of property damage that takes place during the policy period, when the property damage occurred over multiple policy periods. 

Importantly, the Court warned that, "because the terms of the contract and the circumstances surrounding the liability control, we caution against using our answer to the question as a blanket rule applicable to all policies with 'those sums' language." To read the entire case, please click here.

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