Continental Casualty Co. v. Sycamore Springs Homeowners Ass’n., Inc.

Dist. Ct. did not err in finding in favor of plaintiff-insurance company in action seeking declaration that plaintiff's policy did not cover claim by defendant-insured where claim arose out of flood-related damages to homes built by defendant on low-lying land that was prone to flooding. Insurance claim, which arose out of $335,000 settlement in underlying lawsuit against insured, was not covered under policy where: (1) remedy sought in underlying lawsuit was for capital improvements to neighborhood; and (2) settlement made no notation as to whether award was for covered property losses or for capital improvements, which was not covered item under policy.