Settling Multiple Claims Against One Insured

July 27, 2015

Insured has a renter's policy and lives in an eight-unit apartment building. She caused a fire at night due to leaving a stove burner on. The fire caused the tenants in the other apartments to lose all their contents. A couple tenants got injured jumping from second story balconies. One tenant will require back surgery. The insured's policy provides $100,000 coverage for bodily injury and property damage. So far, tenants are making claim against the insured's policy. Lease excludes a claim on the building. Some had a minimal amount of renter's insurance. Among the five claimants, their loss will easily exceed the $100,000.00 limits. Are the losses submitted prorated so that all the claimants get their fair share of the liability policy limits?