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Property insurer attempts to weasel out of paying claim

Did insurance company cancel policy before fire occurred?
Published on May 19, 2004

Admiral Insurance Co. issued a property insurance policy for the Cresent Hills Apartment complex. The annual premium was paid. But Admiral learned the complex had fallen into a deplorable condition. Based on an inspection report, Admiral decided to cancel the insurance policy. On Oct. 5, 2000, an Admiral underwriting assistant prepared an undated cancellation notice for Cresent, stating the policy would be cancelled Nov. 8, 2000. The notice was to be sent by certified mail to Cresent. Purchase Bob Bruss reports online. The Admiral employee taped the cancellation envelope on the outside of the lobby mailbox on Oct. 5, 2000. Attached to the envelope was a note asking the letter carrier to date and sign or postmark the certified mail receipt when it was picked up for delivery. The receipt was returned to Admiral, undated and without a postmark. But the envelope with the cancellation notice was delivered to Cresent via certified mail on Oct. 11, 2000. A Cresent employee signed the rece...

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