NJ Justice Backs City's Insurer In Workers Comp Payout Fight

Law360 (June 29, 2020, 9:02 PM EDT) -- The New Jersey Supreme Court on Monday bolstered Star Insurance Co.'s bid to recover $936,000 it shelled out for an injured Asbury Park firefighter's workers compensation claim, rejecting the city's argument that it should be allowed to recoup the $400,000 deductible it paid toward the claim before the insurer can recover anything.

Answering a certified question from the Third Circuit, the New Jersey high court rebuffed Asbury Park's stance that the so-called "made-whole doctrine" permits the city to recover its entire deductible out of a settlement that firefighter Jason Fazio reached in separate litigation over the fire that injured him, before...

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