In Florida Farm Bureau Casualty Insurance Company v. Cox, 2007 WL 2727072 (Fla.), the question was: does section 627.702(1), Florida Statutes, referred to as the valued policy law, require an insurance carrier to pay the face amount of the policy to an owner of a building deemed a total loss when the building is damaged in part by a covered peril but is significantly damaged by an excluded peril?

In 2004, Hurricane Ivan struck Florida . The Coxes' home was considered a total loss due to both wind and flood damage. Florida Farm Bureau provided coverage for losses caused by wind but not from flood damage. The Coxes made a policy limits demand of $65,000, plus additional coverage for personal property and other additional provisions for a total of $117,000. Florida Farm Bureau asserted that the wind caused $11,583.93 of the damage to the home, the storm caused an additional $3,227.14 of damage to other structures, and the Coxes were entitled to $2000 for living expenses. The insurer said that its liability was not for the total loss of the home because the covered peril only caused $11,583.93 of the damage; the remaining loss was caused by flood and storm surge, both of which were excluded.