Nationwide Sues To Skirt First Citizens Data Theft Coverage

By Megan Stride (March 7, 2013, 2:37 PM EST) -- Nationwide Mutual Fire Insurance Co. filed suit in South Carolina federal court Wednesday, alleging that it has no duty to defend or indemnify First Citizens Bank and Trust Co. Inc. or a cleaning company against claims that they allowed a janitor to access bank customers' confidential information.

Nationwide alleges that the policies it issued to Imperial Services Group Inc. do not provide any coverage for that cleaning services company, First Citizens Bank, or Imperial Services employee Mary Thomas and her son, Vontrell Canty, who were all named as defendants in the underlying suit.

In that state court case, bank customers allege...

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