Starr Indemnity & Liability Co. v. Morris, 155 So. 3d 429

Starr Indemnity insured Matador Sport Fishing, whose vessel injured plaintiff Helen S. Morris when she slipped aboard and was hurt.
Morris sued Matador (negligence), the vessel captain (negligence), and Starr (breach of contract) claiming she is an omnibus insured entitled to recover medical costs directly under Starr’s policy.
Starr moved to dismiss Morris’s claim under Florida’s nonjoinder statute, §627.4136, which generally bars joining an insurer in a tort suit against its insured until after settlement or verdict; the trial court denied dismissal.
Starr alternatively moved to sever Morris’s coverage claim from the negligence suit; the trial court denied severance as well, prompting Starr’s petition for certiorari review.
The court found that while a direct contract/insured claim can avoid dismissal under §627.4136, the nonjoinder statute’s purpose (preventing jury prejudice) requires severance of coverage claims from tort claims.
The petition was granted in part (ordering severance) and denied in part (denial of dismissal with prejudice affirmed).

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether §627.4136 bars Morris’s breach-of-contract (coverage) claim joined with negligence claims against the insured	Morris: She pleads a direct claim as an omnibus insured, so §627.4136 does not apply	Starr: Nonjoinder bars any claim against the insurer until settlement or verdict; dismissal required	Court: §627.4136 does not mandate dismissal where claimant alleges insured status; dismissal with prejudice denied
Whether the coverage claim must be severed from the negligence action to avoid jury prejudice	Morris: No severance needed because her claim is contractual and direct	Starr: Even direct claims should be severed to prevent jury learning of insurer liability and being prejudiced	Court: Severance required; trial court abused discretion by refusing to sever; petition granted in part

Citizens Prop. Ins. Corp. v. San Perdido Ass’n, 104 So. 3d 344 (Fla. 2012) (certiorari standard—irreparable harm from departure from essential requirements of law)
Lantana Ins., Ltd. v. Thornton, 118 So. 3d 250 (Fla. 3d DCA 2013) (incorrect application of nonjoinder statute supports certiorari relief)
General Star Indem. Co. v. Boran Craig Barber Engel Constr. Co., 895 So. 2d 1136 (Fla. 2d DCA 2005) (nonjoinder statute’s purpose is to avoid jury prejudice; severance or dismissal required)
Merchs. & Businessmen’s Mut. Ins. Co. v. Bennis, 636 So. 2d 593 (Fla. 4th DCA 1994) (coverage and negligence claims are distinct and should be tried separately)
GEICO Gen. Ins. Co. v. Harvey, 109 So. 3d 236 (Fla. 4th DCA 2013) (explaining legislative intent behind nonjoinder statute)
Mid-Continent Cas. Co. v. United Rentals, Inc., 62 So. 3d 1173 (Fla. 4th DCA 2011) (nonjoinder prevents insurance availability from influencing jury)
Mucha v. Atlas Van Lines, Inc., 989 So. 2d 697 (Fla. 5th DCA 2008) (direct insured claim can avoid §627.4136 dismissal)