The Supreme Court of Pennsylvania determined an insurer is not obligated to pay overhead expenses before they are actually incurred by the insured. The case is Kurach v. Truck Ins. Exch., 235 A.3d 1106 (Pa. 2020).

What Happened

Konrad Kurach and Mark Wintersteen (collectively, Kurach) had identical homeowners policies issued by Truck Insurance Exchange (Truck). Each policyholder had chosen to pay an additional premium for their policies to settle losses at replacement cost value (RCV) instead of the standard actual cash value (ACV).

This premium content is locked for FC&S Coverage Interpretation Subscribers

Enjoy unlimited access to the trusted solution for successful interpretation and analyses of complex insurance policies.

  • Quality content from industry experts with over 60 years insurance experience, combined
  • Customizable alerts of changes in relevant policies and trends
  • Search and navigate Q&As to find answers to your specific questions
  • Filter by article, discussion, analysis and more to find the exact information you’re looking for
  • Continually updated to bring you the latest reports, trending topics, and coverage analysis