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Matter of Allstate Insurance Co. v. Souffrant

Appellate Division of the Supreme Court of New York, Second Department
Nov 13, 1995
221 A.D.2d 434 (N.Y. App. Div. 1995)

Opinion

November 13, 1995

Appeal from the Supreme Court, Nassau County (Becker, J.).


Ordered that the judgment is reversed, on the law, with costs, the petition is denied, and the parties are directed to proceed to arbitration.

It is well settled that an insurance carrier may not disclaim liability if it fails to give the insured timely notice of disclaimer "as soon as is reasonably possible after it first learns of the accident or grounds for disclaimer of liability" (Hartford Ins. Co. v County of Nassau, 46 N.Y.2d 1028, 1029; Matter of Nationwide Mut. Ins. Co. v Steiner, 199 A.D.2d 507). At bar, Allstate Insurance Company (hereinafter Allstate) had all of the information it needed to investigate the status of the appellant's driver's license when it received the appellant's claim on January 11, 1994. Since Allstate waited until March 25, 1994, to disclaim uninsured motorist coverage on the basis that the appellant's license had been suspended at the time of the accident, this more than two-month unexplained delay was unreasonable as a matter of law (see, Hartford Ins. Co. v County of Nassau, supra). Accordingly, Allstate may not disclaim liability or deny coverage in this case.

In light of this determination, we need not address the appellant's remaining contention. Mangano, P.J., Miller, Santucci and Hart, JJ., concur.


Summaries of

Matter of Allstate Insurance Co. v. Souffrant

Appellate Division of the Supreme Court of New York, Second Department
Nov 13, 1995
221 A.D.2d 434 (N.Y. App. Div. 1995)
Case details for

Matter of Allstate Insurance Co. v. Souffrant

Case Details

Full title:In the Matter of ALLSTATE INSURANCE COMPANY, Respondent, v. JEAN J…

Court:Appellate Division of the Supreme Court of New York, Second Department

Date published: Nov 13, 1995

Citations

221 A.D.2d 434 (N.Y. App. Div. 1995)
633 N.Y.S.2d 575

Citing Cases

U.S. Underwriters Ins. v. 614 Const. Corp.

Id. at 1063. Similarly, the insurer in Allstate v. Souffrant, 221 A.D.2d 434, 633 N.Y.S.2d 575 (2d Dep't…

U.S. Underwriters Insurance Co. v. 614 Constr. Corp.

Id. at 1063. Similarly, the insurer inAllstate v. Souffrant, 633 N.Y.S.2d 575 (App.Div.2d Dep't 1995),…