Progressive Select Insurance Company v. Steven LaFace, Case No. 4:21-cv-10001-JLK (S.D. Fla. May 3, 2022)

On July 23, 2020, an insured’s vessel caught fire and sank in Tarpon Basin.  After the loss, the insured admitted he was “living on the boat,” though he later explained he was stuck on the boat due to engine trouble and COVID-19 lockdowns which delayed his ability to have a mechanic fix the boat.  Progressive sought declaratory judgment that it had no duty to provide insurance coverage for the loss because the insured was using the vessel as his “primary or permanent residence,” in violation of the subject boat and personal watercraft policy. 

Though the insured spent approximately 73% of nights during the relevant time period on the boat, he argued it was never his intention to reside on the boat. HM&B partner Jules V. Massee and associate Madison E. Wahler filed a summary judgment motion, arguing that an objective standard should apply, with the relevant consideration being the insured’s factual physical presence.  The Court agreed with Progressive and granted its Motion for Summary Judgment, concluding that the Policy’s Residence Exclusion, which prohibits using the insured vessel as a primary or permanent residence, is unambiguous as a matter of law, and refers to the place where the insured permanently, routinely or “mostly” lives.