Specialty Lines

  • June 29, 2022

    Mo. Panel Affirms Homeowner's Roof Damage Coverage Win

    A Missouri appeals panel upheld a property owner's coverage win against an AIG unit, finding the insurer breached its policy by improperly depreciating labor costs when calculating the actual cash value of a storm-damaged roof.

  • June 28, 2022

    Calif. Panel Won't Disqualify Law Firm In Pipe Maker's Fight

    A California appellate panel upheld on Tuesday a lower court's refusal to disqualify Pillsbury Winthrop Shaw Pittman LLP from representing Victaulic Co. in its multimillion dollar coverage fight with three AIG units, rejecting arguments that the firm's attorneys obtained relevant confidential information on AIG while at a previous firm.

  • June 28, 2022

    No Coverage For Oil Co.'s Pollution Lawsuits, Insurer Says

    An oil disposal company accused in two different lawsuits of polluting a river is not entitled to insurance coverage in those cases because it failed to timely report the pollution incidents, the company's insurer told an Alabama federal court.

  • June 28, 2022

    Wash. Justices Ponder Coverage For Delayed Tunnel Project

    An insurance coverage dispute over the three-year delay of a tunnel project in Seattle had the Washington Supreme Court on Tuesday again questioning whether the loss of use of a property constitutes physical loss covered by insurance.

  • June 28, 2022

    Insurer Insists On No Coverage For New Claims Over Land Sale

    A Lloyd's syndicate asked an Illinois federal court to find that it owes no coverage to two trust administrators facing new litigation over a land sale gone sour, arguing that the new claims relate back to earlier ones that the court already found weren't timely reported.

  • June 28, 2022

    Insurers, Atty In Tax Shelter Coverage Suit Get Time To Settle

    A Texas federal court stayed an insurance coverage dispute Tuesday to allow time for the finalizing of a settlement among an attorney sued over his involvement in tax planning strategies scrutinized by the IRS and two companies that insured him.

  • June 28, 2022

    Investor Sues Auto Insurer Over Customer Recruitment Costs

    Directors and executives of auto insurance startup Root Inc. have been hit with a derivative investor suit in Delaware federal court alleging they misled shareholders about how much money the company spends acquiring new customers and caused the company's stock price to plummet.

  • June 28, 2022

    Senior Living Co. Says Insurers Stopped Paying Defense Bills

    A senior living community facing a class action over the way it calculates refunds for its residents is suing its insurers in New Jersey federal court, alleging they've stopped covering in full the community's defense costs in the underlying case despite having done so for years.

  • June 27, 2022

    Insurer Can't Recoup $1.1M Malpractice Payment, Co. Says

    A medical imaging firm's insurer cannot recoup a $1.1 million medical malpractice settlement because it can't claw back a voluntarily made payment and it had not proven the firm knowingly made misrepresentations in its insurance application, the firm told a New Jersey federal court.

  • June 27, 2022

    Atty's Filing Delay Frees Insurer From Malpractice Suit Payout

    A ProAssurance insurer doesn't have to cover a lawyer who waited beyond his policy's reporting window to notify the insurer of an underlying legal malpractice suit, a Washington federal judge has ruled. 

  • June 27, 2022

    Judge Trims Ford Dealer's Workers' Comp Coverage Suit

    A California federal judge said a Ford dealership can pursue allegations that its insurer breached policy obligations when handling its claim for coverage of a workers' compensation suit that stems from a 2019 deadly workplace shooting, but dismissed other claims surrounding the underlying civil action.

  • June 27, 2022

    Travelers Policies Don't Cover Fatal Plane Crash, Court Told

    Two Travelers units shouldn't have to cover a company for costs stemming from a fatal airplane crash, they told a Louisiana federal court, saying commercial general liability policies contained a "very broad" aircraft exclusion that can't be defeated by an exception for chartered flights.

  • June 27, 2022

    Aon Failed Customers In Yearlong Data Breach, Suit Claims

    Aon Corp. was hit with a proposed class action lawsuit in Illinois state court claiming hackers had access to consumers' personal information for more than a year before the global insurer discovered its data was breached and offered only meager identity protection services to those affected.

  • June 27, 2022

    Auto Policy Doesn't Cover HPV Transmission, Geico Says

    Geico shouldn't have to cover a $5.2 million arbitration award over a woman's claim she contracted HPV during sexual encounters in a policyholder's car, the insurer told a Missouri federal court, arguing its policy covers only bodily injury arising from the normal use of an automobile.

  • June 24, 2022

    Insurer Seeks To Recoup $1.1M Over Malpractice Settlement

    An Illinois-based insurer urged a New Jersey federal court on Friday to let it recoup the $1.1 million that it paid to settle a medical malpractice case, after it said its policyholder falsely stated in insurance applications that the medical imaging firm knew of no circumstances that could result in such a claim.

  • June 24, 2022

    Judge OKs $34M Avis Rental Insurance Settlement

    A Florida federal judge recommended granting preliminary approval Friday on a $34 million settlement Avis Budget Car Rental LLC struck with rental car purchasers that would end the long-running class action over alleged insurance coverage fraud.

  • June 24, 2022

    AIG Settles Fight With Colonial Pipeline Over $67M Gas Leak

    AIG Specialty Insurance Co. and Colonial Pipeline Co. have settled their dispute in the Northern District of Georgia in relation to a $67 million gas pipeline leak, following a mixed bag ruling at the summary judgment stage.

  • June 23, 2022

    Insurer Asks 11th Circ. To Nix $60M Surgery Death Claim

    A Georgia federal court properly rejected a man's bid to recover a $60 million judgment against a medical practice stemming from a liposuction-related death from the practice's insurer, the insurer told the Eleventh Circuit, asking the panel to affirm the lower court's decision.

  • June 23, 2022

    D&O Insurer, Dental Insurer Spar Over Antitrust Suit Coverage

    Allied World Specialty Insurance Co. and a dental insurer each urged an Iowa federal court to rule in their favor in a coverage dispute over underlying antitrust litigation the dental insurer is facing, with the case hinging on the applicability of an exclusion for managed care activities.

  • June 23, 2022

    Insurer Wants Out Of Gaming Co.'s Equity Dispute Settlement

    An RSUI unit doesn't have to cover Rush Street Gaming's settlement with an executive who said he was denied an equity stake after the casino company went public, the insurer told an Illinois federal court, saying a liability policy excludes coverage for claims related to compensation and employment agreements.

  • June 23, 2022

    Firm, Atty Not Covered For Crime Probe Costs, 4th Circ. Told

    A Chubb unit urged the Fourth Circuit to uphold a ruling that it owes no coverage to a Maryland law firm and attorney for what they spent to comply with a government investigation involving criminal allegations against a firm client, saying those aren't covered claims under a lawyers' liability policy.

  • June 23, 2022

    SXSW Can't Avoid Exclusion In Refund Suit, Chubb Unit Says

    A Chubb unit urged a Texas federal judge to adopt a magistrate judge's recommendation that the insurer doesn't owe coverage to organizers of the South by Southwest festival for a class action brought by refund-seeking ticket holders, arguing SXSW is trying in vain to redraft a contractual liability exclusion.

  • June 22, 2022

    8th Circ. Won't Rehear ERISA Paperwork Mishap

    The Eighth Circuit denied Reliance Standard Life Insurance Co.'s bid for a rehearing en banc Tuesday, after a three-judge panel found that the life insurer violated the Employee Retirement Income Security Act by mishandling a policyholder's enrollment in supplemental life insurance.

  • June 22, 2022

    Insurer Owed LA Port Operator Defense From City, Judge Says

    A Los Angeles company that formerly ran a city-owned port won a partial judgment against United National Insurance Co. on Tuesday when a California federal court found that the insurer was obligated to defend it in an underlying lawsuit from the city.

  • June 22, 2022

    2nd Circ. Upholds Insurer's Win In Varvatos Pay Bias Row

    A Liberty Mutual unit doesn't have to pay former John Varvatos menswear employees to cover a $2.1 million judgment against the clothing brand in a pay discrimination suit, a Second Circuit panel ruled Wednesday, agreeing with a lower court on the applicability of a prior acts exclusion.

Expert Analysis

  • How M&A Insurers Can Increase Smaller Deal Servicing

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    As the number of M&A deals in the $50 million to $200 million range continues to grow, lawyers, insurance brokers and clients must address the trend away from covering these smaller transactions by working together to make it easier for carriers to consider submissions and to insure these types of risks, says Hilary Weiss at Liberty Global.

  • Lessons From Calif. Liability Claim Recoupment Ruling

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    A recent California federal court decision in Evanston Insurance v. Winstar Properties illustrates the perils of insurer recoupment and underscores the importance of assessing recoupment rights, if any, throughout the claims process, say Geoffrey Fehling and Veronica Adams at Hunton.

  • Awaiting Critical Bankruptcy Decision For Surety Industry

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    The recent oral argument in Argonaut Insurance v. Falcon V offers the Fifth Circuit an opportunity to create a rule for multilateral contracts in bankruptcy and exposed the common misconception that a surety assumes the risk of the principal's nonperformance when it issues a bond, say Lisa Tancredi at Womble Bond and Laura Murphy at Travelers.

  • Bankruptcy Case May Help Define Surety Executory Contract

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    Next week’s Fifth Circuit oral argument in Argonaut Insurance v. Falcon V is of great interest to the surety industry as this case presents an opportunity for the court to address several unsettled questions on whether a tripartite arrangement, such as a surety bond program, is an executory contract for bankruptcy purposes, say Lisa Tancredi at Womble Bond and Laura Murphy at Travelers.

  • Assessing NFT Insurance Coverage Options And Gaps

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    Because non-fungible tokens do not come bundled with insurance policies, and until NFT-specific insurance policies become more common, NFT owners should proactively protect against risk by drawing upon existing frameworks, despite potential coverage gaps, say Brian Scarbrough and Edward Crouse at Jenner & Block.

  • Insurer Implications As 3 Climate Suits Return To State Courts

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    Three federal circuit courts recently remanded climate change lawsuits brought by state and local governments against major energy corporations back to state courts, where plaintiffs are more likely to succeed, thus significantly increasing their insurers' and reinsurers' exposure to defense costs and judgments, say José Umbert and Jason Reeves at Zelle. 

  • 6 Rulings Reinforce BIPA Coverage For Illinois Policyholders

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    Six well-reasoned recent decisions in the Northern District of Illinois have considerably strengthened policyholders’ arguments for commercial general liability coverage in lawsuits brought under the Illinois Biometric Information Privacy Act, say attorneys at Neal Gerber.

  • How Boards Can Address Insurance-Based Caremark Risk

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    Recent bankruptcy proceedings, such as Purdue Pharma's, highlight that insurance is critical to ensuring an organization's solvency and ability to pay claimants, making it important for boards to prioritize adequate insurance and risk-management as core Caremark responsibilities, say attorneys at Cooley.

  • 4th Circ.'s Allen Trust Opinion: A New Class Action Primer

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    The Fourth Circuit's recent opinion in Allen Trust v. Banner Life Insurance is likely to become an oft-cited instruction manual for Rule 23(b)(3) class action certification and settlement in the circuit, because of how it effectively addresses the three major issues that dominate class action litigation, say David Anthony and Justin Golart at Troutman Pepper.

  • What Microcaptive Reporting Ruling May Mean For The IRS

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    In CIC v. Internal Revenue Service, a Tennessee federal court’s decision to set aside an IRS requirement to disclose microcaptive insurance arrangements may be a step toward evidentiary standards to show that the potential for abuse in a lawful transaction is sufficient to support heightened disclosure requirements, says Samuel Lauricia at Weston Hurd.

  • 7 Policy Terms Defensive IP Coverage Buyers Should Note

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    To maximize defensive intellectual property insurance — coverage that will defend and indemnify the insured against suits alleging infringement — the technology startups driving the post-pandemic economic recovery should be focusing on specific terms within the manuscripted policies, says Micah Skidmore at Haynes and Boone.

  • 3 Insurance Lessons From Target Data Breach Ruling

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    In Target v. ACE American Insurance, a Minnesota federal court recently recognized that commercial general liability policies cover losses arising from data breaches, providing useful lessons for policyholders, including a perspective on occurrence and loss of use, say attorneys at Pasich.

  • Del. Related Claims Ruling Is Good News For Insurers

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    The Delaware Supreme Court recently denied coverage for a shareholder class action in First Solar v. National Union First Insurance, rejecting the test for assessing relatedness-based coverage issues, and opening the door for insurers to rely on specific policy wording when evaluating related claims, say attorneys at Troutman Pepper.