Insurer Can Recoup $1M From Rehab Co. In Policy Dispute

By Adam Lidgett (June 17, 2019, 3:51 PM EDT) -- A California federal judge has found that the Philadelphia Insurance Indemnity Co. has the right to recover a $1 million payment it made toward an addiction treatment company's settlement of a suit over the death of a sober living home resident who overdosed on heroin.

U.S. District Judge Cormac J. Carney on Thursday granted part of the insurer's summary judgment bid in its suit against Stephouse Recovery Inc. and its CEO, finding that PIIC was entitled to get back the $1 million payment it made to indemnify Stephouse. The payment was to cover a deal settling an underlying suit filed by...

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