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Insurance Litigation Insurance Industry Reservation of Rights

Conn Kavanaugh

Understanding a Reservation of Rights Letter

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You have purchased a liability insurance policy and believe that your insurance coverage will protect you from any claims that may be made against you. You receive a claim letter or are served with a legal document that says...more

Lowenstein Sandler LLP

Allocation: Debunking the “Partial” Duty to Defend Myth

In this episode of "Don’t Take No for an Answer," Lynda A. Bennett and Alexander B. Corson explore the complex issue of "allocation" in the context of defense costs in insurance claims. They discuss what steps to take when...more

Rivkin Radler LLP

Insurance Update - June 2023

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Courts took up some interesting insurance questions this past month. Here’s some we address in our June Insurance Update. When a government sponsored cyberattack infects computers worldwide, does the war exclusion apply? ...more

Wiley Rein LLP

Insurer With Excess “Other Insurance” Clause Owes No Defense Obligations

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The United States District Court for the Southern District of New York, applying New York law, has held that an E&O insurer had no obligation to contribute toward the defense of an underlying matter in light of its policy’s...more

Wiley Rein LLP

Sexual Misconduct Sublimit Applies to Negligence Claims Against Employer Where Claims Would Not Exist “But For” Employee’s Sexual...

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The Eastern District of Pennsylvania, applying Pennsylvania law, has held that a healthcare professional liability policy’s sexual abuse/misconduct sublimit applied to claims of negligent hiring and supervision against the...more

Ervin Cohen & Jessup LLP

Getting Your Insurer To Favorably Resolve Litigation

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Where a liability carrier has assumed its insured’s defense under a reservation of rights, a variety of conflicts between those parties may arise when there are settlement discussions to resolve the underlying litigation....more

Wiley Rein LLP

A Defending Insurer’s Reserving Rights and Seeking Declaratory Judgment Does Not Constitute Bad Faith in California

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A California federal court has held that neither sending a reservation of rights letter nor the mere filing of a suit seeking recission or declaratory relief while an insurer defends the insured amounts to a breach of an...more

Wiley Rein LLP

Insurer Owes Duty to Defend and Indemnify Nuisance Litigation

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A federal district court, applying California law, has held that an insurer owed a duty to defend and indemnify an insured in an underlying nuisance litigation under a not-for-profit D&O policy, as the policy’s pollution,...more

Wiley Rein LLP

Insured Barred From Settling Without Insurer’s Consent Absent Breach of Duty to Defend But Insurer Must Exercise Good Faith in...

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The United States District Court for the District of South Dakota, applying South Dakota law, has held that an insured healthcare system was barred from settling without its healthcare liability insurer’s consent where the...more

Lowenstein Sandler LLP

Can’t We All Just Get Along? Effective Ways to Navigate the Tri-Partite Relationship Among Policyholders, Insurers, and Insurer...

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In the defense of a claim, the relationship between the policyholder, the insurer, and the defense counsel, also known as the tri-partite relationship, is important. Though each party’s approach to settling a claim may be...more

Lowenstein Sandler LLP

Settling a Claim: Get Comfortable With Being Uncomfortable

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Although the time may be right to settle that underlying action, issues can arise when your insurer is not on the same page, especially if the insurer has agreed to defend the claim subject to a reservation of rights on...more

Rivkin Radler LLP

10th Circuit Case Reinforces Limits Of Insurer’s Duty To Settle Disputed Claims

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A recent federal appeals court case applying Utah law goes to the heart of the conflict that arises between a policyholder and insurer when an insurer defends a policyholder under a reservation of rights and receives a...more

Hinshaw & Culbertson LLP

[Webinar] Webinar Series: Insurance Insights – What Insurers Need to Know in 2021 - Construction Claims: A Practical Reservation...

Join us for Hinshaw's Webinar Series: Insurance Insights – What Insurers Need to Know in 2021. This series will feature insurance thought leaders from Hinshaw and RPC, presenting on the most pressing insurance claims topics...more

Payne & Fears

Nevada Supreme Court Recognizes an Insurer's Reimbursement Claim

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The Nevada Supreme Court held that insurers may seek reimbursement of defense costs if a court determines that it owed no duty to defend and the insurer reserved reimbursement rights. In Nautilus Insurance Company v....more

Rivkin Radler LLP

Insurance Update - March 2021

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In our March Insurance Update, we discuss four state supreme court cases and four cybercrime cases. The state high courts address: •From whose perspective should a consent-to-settle provision be judged? •What standard...more

Chartwell Law

Boilerplate RORs Are Insufficient to Disclaim Coverage

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The Pennsylvania Superior Court recently issued a decision that should serve as a cautionary tale to those insurers looking to disclaim coverage after defending under a reservation of rights. In Selective Way Ins. Co. v. MAK...more

Saul Ewing LLP

Illinois Appellate Court Provides Guidance on Insurers’ Duty to Defend Biometric Information Lawsuit

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On March 20, 2020, the Illinois Appellate Court for the First District issued its decision in the case of West Bend Mutual Insurance Company v. Krishna Schaumburg Tan, Inc., 2020 IL App (1st) 191834, 2020 WL 191834, a...more

Pillsbury - Policyholder Pulse blog

Are Denials of Coverage and Belated Defense Payments a Breach of the Duty to Defend? In Wisconsin—Not Necessarily.

When an insurer pursues a judicial determination on its duty to defend and agrees to defend its insured retroactively only five months after its insured initially requested a defense, has it breached its duty to defend? In...more

Harris Beach PLLC

Bad Faith Claims Against Insurers: Can They Be “SLAPP”ed?

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Responding to what have been called “strategic lawsuits against public participation” (“SLAPP”), twenty-nine states, including Connecticut, have enacted some form of anti-SLAPP legislation in recent years. These anti-SLAPP...more

Pillsbury - Policyholder Pulse blog

California Bad Faith Claims Cannot Be “Slapped”

The California Court of Appeal recently disposed of a novel attack on bad faith law launched by Zurich American Insurance Company. In Miller Marital Deduction Trust, et al. v. Zurich American Insurance Company, 2019 DJDAR...more

Pillsbury - Policyholder Pulse blog

11th Circuit Finds Duty to Indemnify Is Not Ripe until Underlying Action Is Resolved

It’s a familiar story to anyone involved in insurance claims. A policyholder is sued and tenders the claim to its insurer. The insurer agrees to defend subject to a reservation of rights, but it also asserts that policy...more

Butler Snow LLP

An improperly drafted reservation of rights letter — the easiest way for an insurer to waive policy coverage defenses.

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In my most recent blogs (“Do you really need a court to tell you what the insurance policy covers? Litigating insurance coverage issues? When and how to turn to the courts”, Part 1 and Part 2), I addressed the various reasons...more

Blank Rome LLP

Insurer Liability for Retained Counsel’s Malpractice

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The Hypothetical Facts - Take the following hypothetical: A California company is sued in the Los Angeles Superior Court for personal injuries suffered by the driver of a vehicle that was injured in a crash involving the...more

Butler Weihmuller Katz Craig LLP

Recent Federal Court Decision May Alter the Reservation of Rights Landscape in South Carolina

The Current Precedent: Harleysville Group Insurance v. Heritage Communities, Inc. Only 15 months ago, in Harleysville Group Insurance v. Heritage Communities, Inc., the South Carolina Supreme Court fundamentally changed...more

Butler Snow LLP

Do you really need a court to tell you what the insurance policy covers? Litigating insurance coverage issues? When and how to...

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In part one of this blog I discussed intervention, one option insurers may have when coverage questions arise. As I noted in my prior blog, procedures for intervention vary by state, and some states simply do not allow an...more

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