Specialty Lines

  • February 14, 2024

    Contractor Owes $13M To Cover Virus Defaults, Insurer Says

    A Michigan-based insurer asked a Florida federal court Wednesday to grant a default final judgment in its indemnification suit against a contractor, seeking to force the company to cough up nearly $13 million to reimburse payments against its surety bonds and protect the insurer from future claims.

  • February 14, 2024

    Bed Bath & Beyond Execs Given Access To $10M In Insurance

    An insurer for bankrupt housewares retailer Bed Bath & Beyond will cover up to $10 million in legal costs incurred by company executives who were subpoenaed or named as defendants in litigation connected to the store, a New Jersey bankruptcy court said.

  • February 14, 2024

    Progressive Unit Seeks Win Against Uber, Widower Of Driver

    A Progressive unit asked a North Carolina federal court Wednesday to grant it a win in its attempt to get out of providing coverage for an UberEats driver who was killed in a car crash, asserting that its policy for Uber doesn't cover injuries caused by uninsured or underinsured motorists.

  • February 14, 2024

    Miami Law Firm Not Covered In Overbilling Row, Judge Says

    An insurer does not have to defend a Miami law firm in a lawsuit accusing it of overbilling a client, a Florida federal judge has ruled, finding that the underlying allegations do not constitute professional services as defined by the firm's policy.

  • February 13, 2024

    Insurers Must Pay Pharma Co. Defense Costs In SEC Probe

    A drug development company formed by a merger is entitled to insurance payments for expenses it paid two of its former officers in connection with federal subpoenas because the insurer failed to show that an exclusion applied, a California federal judge ruled Monday.

  • February 13, 2024

    CEO Needn't Consent To CFO's Settlement, NY Court Says

    A sporting goods company's former CEO does not get a say in the former CFO's $2.8 million settlement with a liquidating trust just because they're both insured under the same directors and officers policy, a New York federal judge ruled, calling the ex-CEO's interpretation of the policy "unreasonable and illogical."

  • February 13, 2024

    Insurer Wants Security Cos. To Repay Assault Defense

    An insurer said it does not owe coverage to two security service companies facing several lawsuits filed by grocery store customers who claim they were battered by security guards, telling a California federal court that the companies owe it reimbursement because their policies don't cover bodily injuries.

  • February 13, 2024

    OpenText Wants Out Of Class Action Coverage Suit

    OpenText told a Michigan federal court it should be dismissed from an insurer's suit seeking to avoid coverage of a class action from former Covisint shareholders alleging an unfair merger, saying it's not involved in the underlying case and its only alleged connection is that it acquired outstanding Covisint stock.

  • February 13, 2024

    Life Insurer Failed To Secure Data From Hack, Class Says

    A life insurance provider and its parent company failed to protect sensitive customer information from a data breach, a proposed class action told an Indiana federal court, saying the parent company was hacked via a SIM swapping scheme targeting a senior employee.

  • February 12, 2024

    Insurer Says No Coverage For Idaho Murderer And Family

    A mentally ill suspected cannibal and his wealthy mining family do not have insurance coverage for a wrongful death suit brought on behalf of a murdered, mutilated groundskeeper and his family, the insurer told an Idaho federal court.

  • February 12, 2024

    Consulting Firm Says Ex-Partner Stole Captive Insurance Biz

    A consulting firm that assists in establishing captive insurance companies told a Colorado federal court that its former business partner breached its contract by working behind the firm's back to snag its clients and sabotage its business relationships, depriving the firm of both business opportunities and potential commission.

  • February 12, 2024

    Panel Slams Life Insurer's 'Extreme' View Of Child Benefits

    A California appeals court panel challenged a life insurer's "extreme" view that its policy was limited to biological children and excluded coverage for the murdered child of the policyholder's fiancée, reinstating several of the parent's claims that were dismissed by a lower court.

  • February 12, 2024

    Three-State Test Critical To Evaluating Carrier Climate Risk

    An analysis finding that insurers' investment portfolios are at risk of losing billions of dollars under delayed climate-transition plans is an important step to fully understanding how well carriers' business activities are aligned with climate goals, experts say.

  • February 12, 2024

    Geico Says Medical Fraudsters Nabbed $1.1M In Auto Benefits

    Several unlicensed individuals submitted hundreds of fraudulent charges for services provided to Geico-insured car accident victims, the insurer has alleged in New York federal court, claiming it lost more than $1.1 million in the no-fault insurance fraud scheme.

  • February 09, 2024

    2nd Circ. Affirms Starr Can't Sue To Defend Coverage Denial

    The Second Circuit on Friday refused to revive Starr Indemnity & Liability Co.'s suit, which a district court had concluded the insurer used to defend its decision to deny a clothing company coverage for stolen and water-damaged goods.

  • February 09, 2024

    4th Circ. Atty Fraud Ruling Limits Criminal Defense Coverage

    The Fourth Circuit pushed criminal matters to the outer margins of professional liability insurance as it finalized its decision affirming a Maryland attorney is not entitled to coverage of defense costs from charges that he defrauded financial institutions.

  • February 09, 2024

    New York Teacher Pays $75K For Mock Slave Auction Harm

    A northern New York teacher will pay $75,000 for holding a mock slave auction of Black students in her classroom, settling a federal suit over a lesson a 10-year-old student's mother said emotionally damaged her son.

  • February 09, 2024

    Adviser Asks 4th Circ. To Rethink Defamation Coverage Denial

    An investment adviser asked the Fourth Circuit to rethink its decision affirming a lower court’s ruling that she was not entitled to coverage under her firm's professional liability insurance policy, saying that the opinion "defies any logic" and contradicts settled South Carolina law.

  • February 09, 2024

    Liberty Mutual Bailed On Wire Fraud Coverage, Agency Says

    Liberty Mutual wrongly denied crime coverage to an insurance agency after it lost more than $228,000 because of wire fraud, the agency alleged in a suit filed in Virgin Islands federal court.

  • February 08, 2024

    Texas Adjuster No Longer To Pretend To Be Lloyd's Of London

    An insurance adjuster who hijacked the good name of British underwriting giant Lloyd's of London after blaming it for lost compensation agreed in Texas federal court to shut down businesses he opened in its name.

  • February 08, 2024

    9th Circ. Affirms Hiscox's Win In Design Co. CEO Fraud Row

    Hiscox Insurance Co. does not have to cover a design and marketing company's $850,000 arbitration award to a former CEO over alleged fraud, the Ninth Circuit ruled Thursday, finding that the arbitrator's decision qualified as a final adjudication that triggered a fraud exclusion in its policy.

  • February 08, 2024

    11th Circ. Rejects $60M Liposuction Death Coverage Plea

    The Eleventh Circuit affirmed on Thursday a district court's decision rejecting a man's request to recover a $60 million judgment from a medical practice's insurer for a liposuction-related death, finding that the practice's coverage was already diminished to the point of exhaustion.

  • February 08, 2024

    Insurance Orgs. Say Bill Would Prevent CFPB Overreach

    Bipartisan legislation seeking to clarify the powers of the Consumer Financial Protection Bureau has drawn support from insurance regulators and industry trade groups who say the bureau has encroached upon state-based insurance regulation despite clear statutory limitations.

  • February 08, 2024

    Broker Hit With Suit Over Data Breach Affecting 1.5 Million

    A California insurance broker is facing a proposed class action filed Thursday in federal court accusing the company of failing to keep the health and personal information of more than 1.5 million customers safe from exposure in an August cyberattack.

  • February 08, 2024

    NYC Jet Skier's Death Suit Not Covered, Insurer Says

    A jet ski tour company's row with the estate of a customer who died while on a tour does not qualify for defense or indemnity coverage, the company's insurer argued to a New York federal court, asserting that the company's alleged errors and omissions preclude coverage under its policy.

Expert Analysis

  • NY Wrongful Death Law Revamp Retains Original's Drawbacks

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    If approved by New York Gov. Kathy Hochul, the Grieving Families Act will transform the landscape of wrongful death law in New York by increasing the potential for damages, raising insurance premiums, burdening hospitals and courts, stifling the economy and subjecting parties to the unsettling effects of retroactive legislation, say attorneys at Shaub Ahmuty.

  • SEC, NY Cybersecurity Rules Create Complexity For Insurers

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    Two separate cybersecurity rules recently adopted by the New York Department of Financial Services and the U.S. Securities and Exchange Commission pose distinct challenges for insurance industry participants, with important interactions, and potential tensions, for those required to comply with both frameworks, say attorneys at Debevoise.

  • Exploring Middle-Market M&A Trends In 2023 And Beyond

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    Middle-market merger and acquisition activity this year was affected by a number of economic, legal and regulatory shifts, with certain trends pointing to favorable transaction conditions in 2024, say Jason Brauser and William Goodling at Stoel Rives.

  • Del. Insurance Co. Liquidation Reveals Recovery Strategies

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    Arrowood's recent liquidation in the Delaware Chancery Court offers a positive development for policyholders and claimants, providing access to guaranty association protections amid the company's demise, say Timothy Law and Ann Kramer at Reed Smith.

  • The Basics Of Law Firm Cyber Liability Insurance Applications

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    Cyber liability insurance has become a common consideration for law firms as cyber threats have escalated, but these insurance forms can be quite complicated given the nature of the industry and associated risks, so simply filling out the form won't necessarily result in an ideal policy for your firm, says Kevin Haight at WAMS.

  • Insurance Considerations For Cos. Assessing New AI Risks

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    Because no two businesses will have the same artificial intelligence risk profile, they should consider four broad risk categories as a baseline for taking a proactive approach to guarding against AI-related exposures, say attorneys at Hunton.

  • AI Brings New Insurance Concerns For Healthcare Providers

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    As the healthcare industry increasingly invests in medical artificial intelligence tools, it confronts a variety of liability risks that necessitate careful consideration and potential recalibration of providers' insurance programs, say Marialuisa Gallozzi and Megan Mumford Myers at Covington.

  • 3 AI Regulation Developments Insurers Must Follow

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    Insurance regulators continue to actively develop regulations and guidance on the use of artificial intelligence, so insurers should be aware of recent developments from the Colorado Division of Insurance, the National Association of Insurance Commissioners and the New York Department of Financial Services, say attorneys at Willkie.

  • Deal Over Jets Stranded In Russia May Serve As Blueprint

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    In the face of a pending "mega-trial" over leased airplanes held in Russia after its invasion of Ukraine, a settlement between leading aviation lessor AerCap Holdings NV and NSK, the Russian state-controlled insurance company, could pave the way for similar deals, say Samantha Zaozirny and Timeyin Pinnick at Browne Jacobson.

  • How Shareholder Activists Are Targeting Insurers

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    As shareholder activists take a closer look at the insurance industry, they are pushing insurers to take value-enhancing and climate-related measures — but insurers can prepare by anticipating activist concerns, maintaining robust shareholder engagement, and considering changes in response to the universal proxy rules, say attorneys at Debevoise.

  • Unlocking Value In Carve-Out M&A Transactions

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    Some of the largest mergers and acquisitions in 2023 were carve-out transactions, and despite their unique intricacies and challenges, these transactions offer both buyers and sellers the opportunity to generate outsized returns in an otherwise vigorously competitive landscape, when carefully planned and diligently executed, say Kevin Crews and Rami Totari at Kirkland.

  • Tips For Negotiating Strong D&O Insurance Protection

    Excerpt from Practical Guidance
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    D&O insurance is often the last line of defense for the personal assets of a director or officer, so taking the time to negotiate improvements to their D&O policies and ensuring that the coverage is appropriate for the insureds' risk profile can greatly improve the chances that their policies will protect them when they need coverage the most, says Thomas Bentz at Holland & Knight.

  • Insurers Should Prepare For 'Black Swan' Climate Disasters

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    As rapid climate change results in increased risk of casualties and property loss from rare, severe weather events, the insurance industry should take five crucial steps toward evolving and continuing operations, including advanced analytic techniques and investments in alternative energy sources, say Stephen Brown and Irena Maier at Wilson Elser.