Insurer Must Defend BestComp Under E&O Policy: 5th Circ.

Law360, New York (December 8, 2011, 4:15 PM EST) -- The Fifth Circuit on Wednesday upheld a decision ruling Indian Harbor Insurance Co. must pay for BestComp Inc.'s defense in an underlying action over medical providers' workers' compensation bills, finding the errors and omissions policy plainly provides for such costs.

A three-judge panel found that not only does Indian Harbor have a duty to defend the workers' compensation company, but it is also required to cover claim expenses that arose out of the underlying suit, which was brought by Williams LLC.

"Because the allegations in the...
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