Climate Change and Disaster Recovery

The Climate Change and Disaster Recovery Group helps clients maximize property and business income insurance coverage in the wake of intensifying storms, flooding, wildfires, and other effects of the planet’s warming. The group also serves clients seeking coverage for third-party claims stemming from climate change, including alleged failures to disclose climate change risks and litigation seeking damages for alleged contributions to global warming.

Attorneys in the Climate Change and Disaster Recovery Group have decades of experience representing clients in complex property, business interruption and contingent business interruption claims. Team members, always representing policyholders, have successfully resolved eight- and nine-figure claims for property damage and business income losses resulting from hurricanes and other natural disasters, fires, explosions, water damage, lightning, construction accidents, the September 11 attacks, and other perils.

In the wake of major weather-related disasters including Hurricanes Katrina, Sandy, Harvey, Irma, and Maria, attorneys in the group have represented national hospitality companies, banks, telecommunications companies, power companies, manufacturers, hospitals, car rental companies, and commercial and multifamily property owners, securing coverage through negotiation and litigation for property damage and business interruption losses.

Team members also have represented directors, officers and companies in high-profile cases seeking D&O insurance coverage for shareholder suits and government enforcement actions. If clients seek coverage for suits seeking damages for alleged contributions to global warming, Anderson Kill will bring to bear deep experience in disputes over insurance coverage for environmental liability. Firm attorneys have secured billions of dollars in insurance coverage on this front for clients including the State of California, ASARCO, the Port Authority of New York and New Jersey, Fuller-Austin, and Waste Management among many others.

The team’s deep experience and nuanced approach to pursuing property, business interruption, and D&O claims and prevailing in coverage litigation is reflected in hundreds of attorney-bylined articles, as well a legal treatise.

A sampling is below.

Climate Change, ESG, and D&O Insurance:  Collision or Cooperation? Dennis J. Artese, Robert D. Chesler and Joseph C. Vila, 2/25/22

Strategies for Maximizing Insurance Recovery for Climate Change Related Loss and Damage, Dennis J. Artese, 2/9/22

Rapid Response to Maximize Insurance Recovery After Hurricanes – Dennis Artese, 9/28/21

Property Insurance Allocations When Storms Strike Back-to-Back, Finley Harckham and Dennis Artese, 8/2/18

Understanding Post-Storm Business Interruption Coverage – Finley Harckham and Marshall Gilinsky, 11/17

The Environmental Impact of Major Hurricanes: From Sandy to Irma -- Robert Horkovich and John Nevius, 9/8/17

The following is a sampling of our representative engagements:

• Arbitrated large property damage and business interruption claims arising out of extensive damage to a large resort resulting from Hurricane Maria.
• Currently representing a major loan servicing company in negotiations over hundreds of property loss claims resulting from Hurricane Maria.
• Successfully settled, without litigation, multimillion dollar claim for property damage and business interruption losses arising out of extensive damage to a historic Caribbean resort resulting from Hurricane Irma.
• Represented apartment complex on St. John in claim for property damage and business interruption from Hurricanes Irma and Maria.
• Represented general contractor joint venturers in a builder’s risk insurance claim for substantial Hurricane Harvey damage to a liquid natural gas facility under construction in Texas at the time of Harvey, as well as for related project delays. Favorably resolved claims exceeding $100 million without litigation.
• Represented a national rail company in a suit seeking property insurance seeking insurance coverage for property damage and business interruption losses following Superstorm Sandy. The claim under the primary insurance policy, which had limits of $125 million, was settled within ten months. Regarding excess coverage, the Second Circuit ruled that while damage that took place after the storm was subject to a $125 million flood sublimit, the policyholder may be entitled to recovery under a coverage extension for "demolition and increased cost of construction" (DICC). The remanded matter has been dismissed without prejudice to renew.
• Represented a major municipal housing authority in litigation and appraisal, and negotiated settlement of a claim for more than $700 million in property damage stemming from Superstorm Sandy.
• Quik Park Southern, LLC – Represented a parking garage owner and numerous affiliates in a dispute over Superstorm Sandy-related claims for property damage and business interruption insurance coverage.
• Negotiated resolution of builder’s risk property damage and delay in startup claims for the developer of a luxury condominium in Manhattan flooded by Superstorm Sandy.
• First Mississippi Corporation (subsidiary of DuPont) - Negotiated resolution of property damage and business income claims at a petrochemical plant flooded by the overflow of the Mississippi River.
• Isle of Capri, Inc. – Represented the owner and operator of a casino barge in New Orleans seeking coverage for property damage and business interruption losses stemming from Hurricane Katrina. Third-party payment issues involved multiple insurance companies. The negotiated resolution maximized coverage.
• Caesar’s Entertainment – Represented a global hospitality company in a claim for property damage, flood and business interruption losses suffered from Hurricane Katrina. In negotiating a resolution to disputes with several insurance companies, Anderson Kill addressed issues of multiple payment sources, allocation and contribution to maximize recovery on each policy.
• Alamo and Budget Rental Cars – Represented leading car rental companies with respect to their property damage and business interruption claims stemming from Hurricane Katrina.
• Bell South Corporation – Represented the largest telecommunications company in the Gulf States in complex multibillion dollar Hurricane Katrina property and time element insurance claims. Working with the client and its consultants, Anderson Kill engaged in extensive negotiations with numerous insurance companies in  multiple layers of coverage, successfully resolving the claims.
• Loeb Realty – Represented the owner of the two largest office towers in New Orleans in litigation seeking coverage for Hurricane Katrina flood losses. The suit claimed ingress and egress, order of civil authority, and business interruption coverage, and settled after denial of the insurance companies’ summary judgment motions.
• Represented a real estate owner/manager in claims for property loss at two large apartment complexes in Louisiana stemming from Hurricane Katrina, along with related claims against the client’s insurance brokers. A successful settlement enabled  the client to fully restore the properties.
• Successfully resolved a national bank’s Hurricane Katrina claims involving a wide variety of property and time element coverages under a property policy.
• Magma Copper – Successfully concluded a multi-million dollar settlement for a copper producer seeking property insurance coverage for flood damage.