Insurance Litigation, Professional Liability Insurance, Bad Faith

Threat of Bad Faith Does Not Constitute a “Claim” Under Insurance Company’s Professional Liability Policy

Wiley Rein LLP on 4/18/2024

An Ohio federal court, applying Ohio law, has held that a letter threatening a bad faith action against an insured insurance company did not constitute a “Claim” for the purposes of the company’s errors and omissions...more

Munich Re Prevails in Alabama Reinsurance Dispute

Carlton Fields on 10/6/2023

A federal court recently agreed with Munich Re that it was not obligated to reimburse an insurer for losses and fees the insurer incurred in litigation with its professional liability carrier regarding a bad faith claim...more

California Court Asserts Insurer Bad Faith

Wiley Rein LLP on 9/14/2023

The United States District Court for the Southern District of California, applying California law, has held that a professional liability insurer acted in bad faith by unreasonably maintaining its position that its policy did...more

Second Circuit Affirms No Duty to Defend Claims Against Construction Firm Outside the Scope of Professional Liability Coverage

Wiley Rein LLP on 1/20/2023

The United States Court of Appeals for the Second Circuit, applying New York law, has held that neither of two claims against an insured construction company fell within the scope of coverage under the company’s claims-made...more

No Coverage for TPA in Claim Arising from Extracontractual Exposure to Insurer

Wiley Rein LLP on 11/3/2020

A federal district court has ruled that a third-party administrator’s professional liability policy does not afford coverage for a claim against the TPA arising from an excess judgment against the TPA’s...more

Prior Knowledge Exclusions Apply Where Insured Received Three Letters from Potential Claimants and Issued Two Litigation Holds...

Wiley Rein LLP on 10/27/2020

In a case in which Wiley represented the insurer, the United States District Court for the Eastern District of Virginia, applying New York law, has held that three prior knowledge exclusions barred coverage under an...more

Years of Embezzlement Precluded From Coverage Under E&O Policy’s Commingling Exclusion

Carlton Fields on 5/16/2020

A federal district court in North Dakota recently granted an insurer’s motion to dismiss in Campbell Property Management LLC v. Lloyd’s Syndicate 3624, finding that both prongs of a “commingling exclusion” to coverage...more

Equitable Subrogation: A Useful Tool for Your Excess Insurer When Your Primary Insurer Refuses to Settle Within its Limits

Bradley Arant Boult Cummings LLP on 10/8/2019

Every policyholder will likely face a scenario where its primary insurer refuses a settlement offer within limits. The primary insurer is potentially liable for that excess verdict if it acted in bad faith by refusing to...more

Insurance Policy’s Promise to Advance Claims Expense for Covered Claims Does Not Create a Duty to Defend

Haight Brown & Bonesteel LLP on 5/8/2019

In United Farm Workers of America v. Hudson Insurance Company, (E.D. Cal.) 2019 WL 1517568, the United Farm Workers of America union (UFW) sued Hudson Insurance Company for breach of contract and bad faith arising out of a...more

Appeals Court: No Bad Faith For An Insurer’s Legitimate Exercise Of A Contractual Right Or Its Settlement Within The Policy Limit...

Robinson+Cole Massachusetts Appellate Blog on 12/14/2017

In a Rule 1:28 decision applying New Hampshire law, the Appeals Court affirmed the entry of summary judgment dismissing a doctor’s suit accusing her professional liability insurer of improper settlement of a claim without her...more

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