Liability Insurance Australia :: Articles

The Weird and Wonderful World of Insurance

What are some weird and wonderful insurance stories from America?

The Weird and Wonderful World of Insurance

⚠️The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

We came across this amusing (but true) insurance story with an interesting twist. Only in America!
A lawyer in Charlotte, NC purchased a box of very rare and expensive cigars, then insured them against fire among other things.
Within a month, having smoked his entire stockpile of these great cigars and without yet having made even his first premium payment on the policy, the lawyer filed a claim with the insurance company.
In his claim, the lawyer stated the cigars were lost "in a series of small fires."
The insurance company refused to pay, citing the obvious reason: that the man had consumed the cigars in the normal fashion.
The lawyer sued....and won! In delivering the ruling the judge agreed with the insurance company that the claim was frivolous.
The judge stated nevertheless, that the lawyer held a policy from the company in which it had warranted that the cigars were insurable and also guaranteed that it would insure them against fire, without defining what is considered to be "unacceptable fire," and was obligated to pay the claim.
Rather than endure lengthy and costly appeal process, the insurance company accepted the ruling and paid $15,000.00 to the lawyer for his loss of the rare cigars lost in the "fires."
But, after the lawyer cashed the check, the insurance company had him arrested on 24 counts of ARSON!
With his own insurance claim and testimony from the previous case used against him, the lawyer was convicted of intentionally burning his insured property and was sentenced to 24 months in jail and a $24,000.00 fine.

Published: Sunday, 1st Aug 2021
Author: Paige Estritori


Business Insurance Articles

The Importance of Public Liability Insurance in the Australian Labour Hire Industry
The Importance of Public Liability Insurance in the Australian Labour Hire Industry
The Australian labour hire industry has seen a significant rise in recent years, and with this growth, comes new and unique risks that companies in this industry must be prepared to navigate. One such risk is the potential for accidents or damages to occur in the workplace, which is where public liability insurance comes in. This article will explore the definition of public liability insurance and why it is so important for labour hire companies in Australia. - read more
Q&A: Common Questions Australian Business Owners Have About Public Liability Insurance
Q&A: Common Questions Australian Business Owners Have About Public Liability Insurance
Public liability insurance is a crucial aspect of managing risk for businesses in Australia. This type of insurance covers costs associated with claims made against a business for property damage or personal injury caused during business operations. - read more
Common Myths About Public Liability Insurance Debunked
Common Myths About Public Liability Insurance Debunked
Today, we're diving into the world of public liability insurance, a crucial topic for anyone running a small business or working as a self-employed professional in Australia. - read more
 Why Every Business Needs Public Liability Insurance
 Why Every Business Needs Public Liability Insurance
Welcome to our comprehensive guide on public liability insurance. If you run a business, you've probably heard this term thrown around quite often. But what exactly is public liability insurance? - read more
5 Tips for Reducing Your Liability Insurance Premiums in Australia
5 Tips for Reducing Your Liability Insurance Premiums in Australia
Liability insurance is a crucial form of protection that offers coverage against claims resulting from injuries and damage to people or property. Within the bustling landscape of Australian businesses, possessing this form of insurance is key to financial security and continuity. It acts as a safety net, ensuring businesses can manage risks without bearing the full brunt of potentially costly legal claims. - read more

Insurance News

CHU Strata Index Uncovers Critical Maintenance Shortfalls in Australian Strata Properties
CHU Strata Index Uncovers Critical Maintenance Shortfalls in Australian Strata Properties
27 Mar 2026: Paige Estritori
CHU, Australia's largest strata insurance underwriting agency, has unveiled the inaugural CHU Strata Index, a comprehensive study examining the attitudes, perceptions, and behaviours of strata property owners across the nation. The research sheds light on significant maintenance gaps that could pose future risks to the integrity and safety of strata communities. - read more
Navigating Premium Hikes and Cybersecurity Risks in Australia's Insurance Sector
Navigating Premium Hikes and Cybersecurity Risks in Australia's Insurance Sector
27 Mar 2026: Paige Estritori
In 2026, Australia's insurance industry is confronting significant challenges, notably the affordability of premiums and the escalating threat of cyber incidents. These issues are prompting insurers to reassess their strategies to maintain profitability and customer trust. - read more
Bridging the Gap: Enhancing AI and Cyber Risk Management in Australian Insurance
Bridging the Gap: Enhancing AI and Cyber Risk Management in Australian Insurance
27 Mar 2026: Paige Estritori
Recent research indicates that Australian insurers are trailing their global counterparts in preparedness for artificial intelligence (AI) and cyber risks. This gap poses significant challenges as the industry faces rapid technological advancements and increasing cyber threats. - read more
Streamlining Compliance: Australian Insurance Brokers Seek Regulatory Relief
Streamlining Compliance: Australian Insurance Brokers Seek Regulatory Relief
27 Mar 2026: Paige Estritori
Australia's insurance broking sector is advocating for regulatory simplification to alleviate the growing compliance burdens that impact operational efficiency and client service. The National Insurance Brokers Association (NIBA) has welcomed the Australian Securities and Investments Commission's (ASIC) 'Regulatory Simplification' report, which acknowledges the challenges posed by the current regulatory framework. - read more
Australian Insurers Tackle Premium Affordability Challenges
Australian Insurers Tackle Premium Affordability Challenges
27 Mar 2026: Paige Estritori
In 2026, Australian insurers are prioritising premium affordability and insurability as key concerns, driven by escalating claims costs, climate-related losses, and technological advancements in fraud. According to Gallagher Bassett's 2026 global claims study, 22% of Australian insurance leaders identified premium affordability as their top challenge. This reflects the combined impact of claims inflation, macroeconomic conditions, regulatory costs, and increased catastrophe exposures on pricing and underwriting. - read more

Start Here !
Your free liability insurance quote comparison starts here!
Cover Amount:
Postcode:

All quotes are provided free and without obligation by a Specialist from our National Broker referral panel. See our Privacy Statement for more details.


Knowledgebase
Grace Period:
A time period after the premium is due during which an insurance policy remains in force even if the premium has not yet been paid.