General Liability

Expert Analysis

• Problematic 'Unavailability' Insurance Exception Lives On

  

  The Maryland Court of Appeals’ unfortunate decision in Rossello v. Zurich represents the second time in the last six months that a state supreme court has approved unavailability of insurance as an exception to the general rule of time-of-the-risk proration for long-tail claims, based on case law that is no longer good authority, says Michael Aylward at Morrison Mahoney.

• COVID-19 Test Providers, Beware Kickback Enforcement Tool

  

  Labs and providers offering COVID-19 tests should take several measures to reduce their risk of aggressive government prosecution of unlawful quid pro quos under the newly weaponized Eliminating Kickbacks in Recovery Act, says Joshua Robbins at Greenberg Gross.

• A Call To Action For The Coming Insurance Litigation Siege

  

  Anticipating an onslaught of insurance litigation over coronavirus business interruption claims, G. Andrew Lundberg at Burford Capital paints a picture of what cooperation could look like among lawyers, courts, legislatures, regulators, insurers and policyholders dealing with this once-in-a-generation stress on the nation's judicial resources.

• Insurers Should Act Now To Guard Against COVID-19 Claims

  

  If insurers are to stanch the flow of coverage claims from policyholders impacted by the coronavirus, they must be prepared to fight and win early cases concerning property insurance and other types of policies because even small cases could set important precedents at this stage, say attorneys at Lewis Baach.

• Reinsurers Must Prepare For Coronavirus-Related Claims

  

  Given the tremendous volume of insurance claims expected as a result of COVID-19 and the possibility that these claims will lead to reinsurance cessions, reinsurers should promptly review their assumed portfolios to determine their potential exposure, say Scott Seaman and Edward Lenci at Hinshaw & Culbertson.

• Does COVID-19 Fall Under Insurers' Pollution Exclusions?

  

  Despite inconsistent rulings from state and federal courts, an analysis of bacterial and viral contamination cases provides insight on whether COVID-19 is the type of environmental harm expected to fall within insurance policies' pollution provisions, says Elise Allen at BatesCarey.

• Should States Force Property Insurers To Cover Virus Losses?

  

  A proposed New Jersey bill requiring some commercial property insurance policies to construe the coronavirus pandemic as a covered cause of loss would likely survive a contract clause challenge, but this type of law could set a dangerous precedent, say Linda Hsu and Savannah Montanez at Selman Breitman.

• Don't Assume 'Physical Loss' Language Bars Virus Coverage

  

  A recent Law360 guest article mistakenly assumes that many standard insurance policies will not cover COVID-19 business interruptions without a specialized endorsement, when in actuality courts will not automatically deny such claims because of a physical damage requirement, says Stacy Tucker at Kantor & Kantor.

• 8 Possible Paths To Insurance Coverage For COVID-19 Losses

  

  At least some insurance policies are almost certain to apply to coronavirus-related losses, and a few hypothetical situations explain how, say attorneys at Covington.

• Future Battles Foreshadowed In First COVID-19 Insurance Suit

  

  The first insurance lawsuit on record for coronavirus coverage — Oceana Grill v. Certain Underwriters at Lloyd's, filed in Louisiana state court — highlights key questions that will be echoed across the country and underscores the importance of acting now to preserve claims, says Tae Andrews at Miller Friel.

• NJ Cos. May Have Insurance Coverage For COVID-19 Losses

  

  Two New Jersey cases from 2009 and 2014 indicate that the physical injury requirement under property insurance policies may be interpreted broadly enough to apply to losses resulting from the coronavirus crisis, say Robert Chesler and Nicholas Insua at Anderson Kill.

• Risk Mitigation Tools For Cos. Facing Coronavirus Losses

  

  As the coronavirus outbreak continues to spread, companies anticipating business interruptions can look to insurance policies and alternatives like force majeure clauses to offset potential losses, say attorneys at Haynes and Boone.

• NY Sex Abuse Insurance Suit Showcases Possible Arguments

  

  Continental Insurance's complaint against the Diocese of Buffalo in a New York state court raises almost every possible defense an insurer may have against providing coverage to a policyholder accused of sex abuse under the New York Child Victims Act, say Robert Chesler and Pamela Hans of Anderson Kill.