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Policy Terms Policy Exclusions Bad Faith

Cozen O'Connor

Claims Notes - November 2024

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After several hurricanes, a church submitted a first-party property claim. The church also had pending coverage litigation from prior tornado damage. On October 12, 2020, the independent adjuster (IA) inspected and...more

Sands Anderson PC

Virginia’s New Bad Faith Law: What Insurers Need to Know

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On July 1, 2024, new Virginia Code § 8.01-66.1 became effective and created a new bad faith cause of action that can be significant for underinsured or uninsured (“UIM”) carriers....more

Wiley Rein LLP

Capacity Exclusion Bars Coverage for Settlement Involving Director’s Self-Dealing While Acting in Dual Capacity as Shareholder and...

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A New Jersey appellate court, applying New Jersey law, has held that the capacity exclusion in a directors and officers policy precluded coverage for a settlement of lawsuits alleging that an insured director defrauded a...more

Carlton Fields

California Court Holds Intentional Acts Exclusion Bars Coverage for Shooting Claim Even Though Shooter Believed Gun Unloaded

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In Helguera v. Mid-Century Insurance Co., California’s Fourth District Court of Appeal held that an intentional acts exclusion in the liability coverage part of a homeowners insurance policy issued by Mid-Century Insurance...more

Wiley Rein LLP

Insurer Must Show that Reasonable Insured Would Have Concluded that Potential Claim Could Arise from Ongoing Investigation in...

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The United States District Court for the Eastern District of Pennsylvania, applying Pennsylvania law, denied an insurer’s motion for summary judgment on the grounds that a genuine dispute of material fact existed as to...more

Wiley Rein LLP

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

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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

Wiley Rein LLP

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

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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

Carlton Fields

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

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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

White and Williams LLP

The Complex Insurance Coverage Reporter - 2019 Year in Review

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Welcome to CICR’s annual review of insurance cases. Here, we spotlight five decisions from the last year that you should know about—and five pending cases to watch. As our picks for “Cases to Know” indicate, 2019 was not a...more

Carlton Fields

Real Property, Financial Services, & Title Insurance Update: Week Ending October 4, 2019

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Real Property Update - Foreclosure / Bankruptcy / Surrender: borrower cannot challenge judgment of foreclosure entered upon judicial notice of his statement of intention to surrender the property and order of discharge...more

Jaburg Wilk

Arizona Court of Appeals Enforces Workers' Comp Exclusion to MedPay Coverage

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The Holding - In Doneson v. Farmers Ins. Exch., 2018 WL 4781382 (Ariz.App. Oct. 3, 2018), an insurance bad faith case, the Arizona Court of Appeals upheld an exclusion precluding MedPay benefits “if workers’ compensation...more

White and Williams LLP

Complex Insurance Coverage Reporter – February 2018

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An Insurer’s Guide to Reserving Rights: Tips for Avoiding Waiver and Estoppel - Insurers know all too well that the penalties for an ineffective reservation of rights letter can be severe...more

Farella Braun + Martel LLP

The Ramifications of a Less-Than-Thorough Investigation

An insurance carrier has declined to defend a claim asserted against its insured, arguably without meeting its obligation to investigate the claim. For whatever reason — a change in personnel, loss of a file, or some other...more

Carlton Fields

“Arising” tide for insurers: 11th Circuit takes expansive view of Prior Acts Exclusion

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Claims-made policies often cover acts that occur before a policy period, so long as they result in a covered claim during the policy period. This is a fundamental difference between claims-made and occurrence policies. But...more

Carlton Fields

Shot Through the Heart, But the Excess Carrier Isn’t to Blame: Georgia Federal Court Finds Policy’s Broad Firearms Exclusion Bars...

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On June 1, 2017, the U.S. District Court for the Northern District of Georgia granted summary judgment in favor of AIG Specialty Insurance Co. in a case involving the application of the firearms exclusion in Powe v. Chartis...more

Carlton Fields

Georgia Federal Court Finds Policy’s Broad Firearms Exclusion Bars Coverage

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The U.S. District Court for the Northern District of Georgia granted summary judgment in favor of AIG Specialty Insurance Co. in a case involving the application of the firearms exclusion in Powe v. Chartis Specialty...more

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