Grebow v. Mercury Ins.Annotate this Case
Plaintiffs filed suit against Mercury for breach of contract and tortious breach of insurance contract after Mercury denied reimbursement for the cost of repair to the second story of plaintiffs' house. Mercury argued that plaintiffs' claim under their homeowner’s insurance policy was not covered because the damage to their property did not constitute a “collapse” as defined by the policy. The trial court granted summary judgment to Mercury and denied plaintiffs' motion for summary adjudication. The court held that Mercury is not liable for the reimbursement costs because there was not a collapse as defined in the policy, the duty to mitigate arises only after a loss from a collapse, and Mercury had no duty, express or implied, to reimburse plaintiffs for costs to prevent imminent insurable damage. Accordingly, the court affirmed the judgment.