AIG Unit Cleared From Covering Co.'s Harassment Settlement

Law360 (December 4, 2019, 4:30 PM EST) -- The Eleventh Circuit affirmed Wednesday that an AIG unit doesn’t have to cover a medical services company’s $750,000 settlement over a pair of harassment complaints, agreeing with a Florida federal judge that a policy the insurer issued to the company’s human resources provider doesn’t extend to the claims.

A three-judge panel of the appeals court upheld U.S. District Judge Roy B. Dalton Jr.’s October 2018 decision granting a motion for summary judgment filed by AIG subsidiary National Union Fire Insurance Company of Pittsburgh, Pa., in its dispute with TMH Medical Services LLC.

TMH had sought coverage for the underlying settlement and...

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