A South Carolina appeals court on July 16 affirmed a $20 million negligence verdict against Lack’s Beach Service, highlighting critical exposure for insurers and key considerations around liability coverage limits.
Cases like this are the kind insurers pay close attention to, as they underscore significant questions surrounding liability risk, training standards, and policy coverage adequacy.
The incident took place on Aug. 24, 2018, in Myrtle Beach, S.C. Zerihun Wolde was vacationing there with his fiancée, Meswaet Abel, and their four children. Around noon, Wolde and two of his children entered the ocean near Sea Crest Resort, close to lifeguard stand L-22 operated by Lack’s Beach Service. Lack’s was contracted by the City of Myrtle Beach to manage water safety services and rent beach gear…