A Texas Supreme Court ruling that classified tornadoes as a type of "windstorm" in a homeowners policy underscored different approaches to interpreting definitions in insurance policies and the increasing importance of deductibles, experts say. […]

Max Stern, a carrier-side attorney for Duane Morris LLP, said that in recent years, policyholders have pushed the envelope of definitions, especially with respect to COVID-19 loss claims, resulting in courts becoming more comfortable taking a commonplace understanding.

"When you get beyond the commonplace understanding, you see courts pushing back against that kind of interpretation," he said.

Stern said such definitional issues are the bread and butter of commercial policy disputes, observing that across policy language, there's always room to "slice and dice things".

"You see that kind of dispute across all kinds of coverages, dealing with undefined terms or even defined terms," he said. […]

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