Insurer Off Hook For Qui Tam Suit V. Ill. Nursing Home

Law360, New York (May 20, 2009, 12:00 AM EDT) -- A federal appeals court has ruled that the Health Care Industry Liability Insurance Program does not have the duty to defend an Illinois nursing home fending off a whistleblower suit alleging false claims to federal health insurance programs.

A three-judge panel of the U.S. Court of Appeals for the Seventh Circuit ruled that the general liability policy Healthcap sold to to the Momence Meadows Nursing Care Center did not cover the employment-based claims brought by two former nurses in September 2004.

Vanessa Absher and Lynda Mitchell...
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