Insurance Implications Of Texas '8 Corners' Rulings

By Susan Kidwell (February 25, 2022, 3:34 PM EST) -- On Feb. 11, the Texas Supreme Court issued two opinions, Monroe Guaranty Insurance Co. v. BITCO General Insurance Corp. and Pharr-San Juan-Alamo Independent School District v. Texas Political Subdivisions Property/Casualty Joint Self Insurance Fund, expanding the use of extrinsic evidence to determine an insurer's duty to defend third-party claims.[1]

The opinions reaffirm the long-standing eight-corners rule as the primary means for determining an insurer's duty to defend.

Under that rule, according to the Monroe decision, "the insurer's duty to defend is determined by comparing the allegations in the plaintiff's petition to the policy provisions, without regard to the truth or falsity of...

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