Summary
The Supreme Court of Ohio held that an umbrella insurance policy arguably covered emotional-distress damages arising from alleged pre-leasing housing discrimination because emotional distress could encompass humiliation, a covered personal injury. The court further held that the inferred-intent doctrine did not apply because emotional distress is not inherently tied to housing discrimination. The court affirmed the appellate judgment recognizing the insurer’s duty to defend.
Holdings
- An allegation of emotional distress arguably invoked coverage under an umbrella policy that defined personal injury to include humiliation, because humiliation falls within the ordinary meaning of emotional distress and is a recognized injury in housing-discrimination cases.
- The inferred-intent doctrine did not apply because emotional distress or humiliation is not an inherent or necessary result of pre-leasing housing discrimination. The intentional-acts exclusion therefore did not eliminate the insurer's duty to defend as a matter of law.
Questions Presented
- Whether the umbrella policy's coverage for humiliation and other specified harms arguably covered Kozera's allegation of emotional distress, thereby triggering a duty to defend.
- Whether the umbrella policy's intentional-acts exclusion and Ohio's inferred-intent doctrine eliminated the duty to defend as a matter of law because the underlying claim involved pre-leasing housing discrimination.
Disposition
affirmed
Cases Cited (22)
- Cincinnati Ins. Co. v. CPS Holdings, Inc., 115 Ohio St. 3d 306, 2007-Ohio-4917, 875 N.E.2d 31, ¶ 7(followed)
- Sharonville v. Am. Emps. Ins. Co., 109 Ohio St. 3d 186, 2006-Ohio-2180, 846 N.E.2d 833, ¶¶ 6, 13(followed)
- Cincinnati Indemn. Co. v. Martin, 85 Ohio St. 3d 604, 605, 710 N.E.2d 677 (1999)(followed)
- Westfield Ins. Co. v. Hunter, 128 Ohio St. 3d 540, 2011-Ohio-1818, 948 N.E.2d 931, ¶ 11(followed)
- Hybud Equip. Corp. v. Sphere Drake Ins. Co., Ltd., 64 Ohio St. 3d 657, 665, 597 N.E.2d 1096 (1992)(followed)
- Midwestern Indemn. Co. v. Craig, 106 Ohio App. 3d 158, 164, 665 N.E.2d 712 (1995)(followed)
- Cleveland Builders Supply Co. v. Farmers Ins. Group of Cos., 102 Ohio App. 3d 708, 657 N.E.2d 851 (1995)(followed)
- Am. Special Risk Ins. Co. v. A-Best Prods., Inc., 975 F. Supp. 1019, 1022 (S.D. Ohio 1997)(followed)
- Byrd v. Brandeburg, 932 F. Supp. 198, 200 (N.D. Ohio 1996)(followed)
- Bishop v. Pecsok, 431 F. Supp. 34, 38 (N.D. Ohio 1976)(followed)
Showing top 10 of 22.
Cited In (0)
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Court Document
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