Court Adjudicates Claims Against Insurance Company and Broker
James I. Ewart contacted Larry Darcey, who was an independent agent for the Allstate Insurance Company. for the purpose of purchasing a landlord insurance policy to cover a property in Smithtown. Darcey subsequently provided quotes for landlord insurance to Ewart and then left for vacation without binding coverage in place. Ewart did not select a policy and made no payment. Although Ewart knew that further actions were required to secure coverage, he believed that Darcey would complete them after he returned from vacation. But before Darcey returned, a fire damaged the property. Ewart tendered a claim to Allstate, which disclaimed coverage on the basis that no policy was in force on the date of the loss.
Ewart sued Allstate and Darcey to recover damages for breach of contract and negligence in failing to procure a landlord insurance policy for the property. Allstate and Darcey moved for summary judgment dismissing the complaint. Supreme Court granted the motion. Ewart appealed.
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