A recent Connecticut Supreme Court decision could have a major impact on nursing home litigation.
The case arose out of a 2003 fire in a Hartford nursing home, which killed 16 elderly and disabled individuals. Following the catastrophic event, 13 separate individuals filed suit. However, none of the plaintiffs in the case have received any redress, due to a dispute over the limitations of the nursing home’s professional liability policy.
The fire broke out when a psychiatric patient set her bed on fire with a cigarette lighter. Relatives of 13 of the 16 victims sued the nursing home’s operator for damages, saying it failed to adequately supervise the woman. The lawsuit also made negligence claims for insufficient response and a lack of safety training by the nursing home staff.
The policy limit dispute centered on the meaning of the $1 million coverage versus the total coverage for the company who owned the home (and several others) of $10 million. Specifically contested were the terms “aggregate policy limit.” The Connecticut Supreme Court’s majority opinion held that the policy, when read in whole, meant that the plaintiffs had access to only $1 million for this particular home, and that the $10 million was the limit for all of the company’s homes combined.
Maryland Nursing Home Lawyer Blog


