Specialty Lines

  • January 05, 2023

    Delta Marine Negligent In $3.5M Yacht Accident, Insurers Say

    A group of Lloyd's syndicates and underwriters sued Seattle-based yacht builder Delta Marine Industries Inc. and others in Washington state federal court, seeking to recover more than $3.5 million in repair costs after the company's attempt to relaunch a pleasure yacht "failed catastrophically."

  • January 05, 2023

    Excess Insurer Says No Interest Due On Data Breach Award

    An excess insurer for a Blue Cross Blue Shield licensee said it shouldn't have to pay prejudgment interest on the $2.3 million it was ordered to pay Atlantic Specialty Insurance over a 2014 data breach, arguing that the primary insurer didn't request that type of relief in its pleadings.

  • January 05, 2023

    NC Co. Sues Insurers, Supply Chain Managers Over Delays

    The maker of a wooden building block Advent calendar told a North Carolina federal court that it's the latest victim of supply chain troubles and its insurer owes coverage for the delayed shipment of its product, which derailed the company's 2021 and 2022 efforts.

  • January 05, 2023

    Insurers Say Blank Space In Policy Can't Increase Coverage

    Insurers led by Norwegian Hull Club told a Florida federal court that they don't owe coverage beyond $77 million already paid out to a fishing company and shipbuilder for a boat damaged in a hurricane, arguing that a blank space in an escalation clause makes the clause unusable.

  • January 05, 2023

    Nurse Agency Not Covered For Trademark Fight, Insurer Says

    A nurse staffing agency is not entitled to coverage for an underlying intellectual property dispute, an insurer told a California federal court, saying infringement of another agency's trademark is not a covered advertising injury offense within the policy's general liability coverage.

  • January 04, 2023

    Landlord Drops Capital Gazette Shooting Coverage Suit

    The Capital Gazette's landlord dropped its suit seeking defense coverage from a Chubb unit and a Travelers unit in underlying suits over the 2018 shooting at the paper's office.

  • January 04, 2023

    Progressive Unit Says Security Co. Not Covered In Death Suit

    A Progressive unit told an Oregon federal court that it shouldn't have to cover an armed security company facing negligence and wrongful death claims after a guard fatally shot a man in a parking lot, arguing that the incident falls outside the scope of the company's auto policy.

  • January 04, 2023

    Charter Fishing Co. Says Insurer Must Cover Boat Damage

    A charter fishing company is entitled to coverage for damage its $265,000 boat sustained after crashing into an underwater object, the Mississippi company argued in a suit accusing Great American Insurance Co. of wrongfully denying coverage.

  • January 04, 2023

    6th Circ. Rejects Farmer's Crop Insurance Challenge

    A Sixth Circuit panel on Tuesday backed a Federal Crop Insurance Corp. decision that a corn and soybean farmer needed to return overpayment he received from his crop insurance for poor crop years, saying the policy's text requires claim errors be corrected.

  • January 04, 2023

    Allianz Can't Duck Fraud Coverage Suit, AmTrust Says

    AmTrust urged a Delaware federal judge to reject an Allianz unit's bid to avoid covering the company for a settlement it reached in an underlying securities fraud litigation, arguing the insurer's position that its policy limits were exhausted is inconsistent with those of other carriers involved in the dispute.

  • January 04, 2023

    Zurich Relieved Of Covering Bank's Ponzi Suit Costs

    A California federal court tossed a bank's amended lawsuit seeking recovery of defense costs and coverage for a portion of a $9 million settlement stemming from its alleged involvement in a Ponzi scheme, finding that the bank did not comply with a Zurich unit's notice requirements.

  • January 03, 2023

    AIG Unit Owes Coverage For Failed Franchise Deal, Court Told

    A franchisor is seeking coverage for costs stemming from arbitration over a failed restaurant franchise deal, telling a New Hampshire federal court that its insurer can't rely on a breach of contract exclusion because the underlying contract was rescinded by an arbitrator.

  • January 03, 2023

    Zurich Can't Appeal Ruling In Ponzi Scheme Coverage Fight

    A Zurich unit can't pursue an interlocutory appeal of a decision rejecting its bid to toss a bank's suit seeking coverage for underlying litigation over involvement in a Ponzi scheme, a California federal judge decided, saying the issue of whether a lending act exclusion applied isn't a question of law.

  • January 03, 2023

    Insurance Co. Hit With Class Suit Over Client Data Breach

    An Ohio woman is suing the U.S. arm of insurance provider Everest Re Group Ltd. over a data breach last year that exposed some customers' personal information, slamming the company for failing to protect her records amid a spate of cybersecurity mishaps nationwide.

  • January 03, 2023

    Publisher Seeks Coverage For Md. Shooting Suits

    A Maryland newspaper's publisher accused a Chubb unit in Illinois federal court of funneling costs from one policy to another to avoid covering the publisher's defense tab in underlying suits stemming from a fatal mass shooting at the newspaper's offices.

  • January 03, 2023

    CNA Unit Gets Staffing Co.'s Settlement Coverage Suit Tossed

    A medical staffing company cannot move forward with its coverage suit against a CNA unit, a Pennsylvania federal court ruled, finding that the company breached the policy when it failed to obtain the insurer's approval before paying to settle employee misconduct allegations.

  • January 03, 2023

    Insurers Escape Coverage Of NJ Banquet Hall Shooting

    A New Jersey federal court allowed Harford Mutual Insurance Co. and Firstline National Insurance Co. to rescind policies they issued to restaurant owners seeking coverage for a shooting at a banquet hall in 2017, finding the owners failed to disclose the existence of the banquet hall in their insurance applications.

  • January 03, 2023

    Wi-Fi Co. Not Covered For Trade Secrets Award, Court Told

    An in-flight wireless services provider isn't covered for a $12.5 million arbitration award it paid in a trade secrets dispute because the underlying claims do not fall under any personal and advertising injury offenses that would trigger coverage, the provider's insurer said.

  • January 03, 2023

    10th Circ. Says No More Coverage For Embezzlement Scheme

    The Tenth Circuit found that an insurer doesn't have to continue defending a New Mexico trust corporation relating to its former CEO's embezzlement scheme, finding that while the carrier's rescission of the policy may have been untimely, an exclusion in the policy does apply.

  • January 02, 2023

    D&O Insurance Cases To Watch In 2023

    Federal appellate courts across the country are poised to weigh in on some of the thorniest issues in directors and officers coverage over the course of 2023, with opinions expected on whether government investigations count as securities claims, the so-called bump-up exclusion and a key False Claims Act dispute. Here, Law360 breaks down the top D&O insurance cases to watch this year.

  • January 02, 2023

    The Biggest D&O Insurance Rulings Of 2022

    A pair of insurer wins in corporate-friendly Delaware and a favorable ruling on the so-called bump-up exclusion have carriers feeling good about the past year of directors and officers disputes, although Verizon obtaining coverage for a $95 million fraudulent transfer settlement gave policyholders something to cheer about. Here, Law360 breaks down the most significant D&O decisions and trends of 2022.

  • January 02, 2023

    Cyber Coverage Cases To Watch In 2023

    Courts will once again ponder in 2023 whether hack-related credit card cancellations qualify as tangible losses under a noncyber policy and address whether cyberattacks with elements of both hacking and social engineering are covered under computer fraud insurance provisions. Here, Law360's Insurance Authority takes a look at cyber coverage cases to watch in the coming year.

  • January 02, 2023

    Biggest Cyber Coverage Decisions Of 2022

    Cyber coverage litigation in 2022 focused on the application of policy language and underwriting to ever-evolving cyberthreats, from two highly anticipated war exclusion lawsuits to a cyberattack coverage fight that ended with a rescindment of the disputed policy. Here, Law360’s Insurance Authority breaks down the most important cyber coverage cases of 2022.

  • January 02, 2023

    The Cybersecurity Stories That Could Define 2023

    Authorities cracking down on failures to report data breaches, data extortion groups evolving their tactics and cyber insurers tightening up their policies will all be on the agenda in what should be another busy year in the world of cybersecurity.

  • December 27, 2022

    Software Not Covered In Ransomware Attack, Ohio Justices Say

    The Ohio Supreme Court ruled Tuesday that a ransomware attack on a medical billing company did not cause direct physical damage to the company's computer software, reversing a lower court decision and concluding there is no coverage under the company's insurance policy.

Expert Analysis

  • Insurers Should Honor Astroworld Coverage Obligations

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    While insurers may be eager to shift blame on Astroworld showrunner Travis Scott for conditions that resulted in 10 deaths and dozens of injuries, arguments suggesting the tragedy shouldn't be covered appear baseless in light of the facts and the law, says Benjamin Massarsky at Miller Friel.

  • Ransomware Case Signifies Shift In Cyber Insurers' Stance

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    The pleadings in a recently settled California federal court case, Boardriders v. Great American Insurance, show that cyber insurers are taking an adversarial approach to ransomware-related claims in the wake of increasing attacks, so policyholders should anticipate new policy language, claim-payment avoidance and more, say Lynda Bennett and Michael Scales at Lowenstein Sandler.

  • Cyber Rulings Aren't Helping COVID Biz Interruption Cases

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    Where policyholders have recently tried to draw comparison between the loss of property use from a COVID-19 shutdown order and the loss of data use from a ransomware attack, they have found courts unsympathetic to these arguments for business interruption insurance coverage, say Jane Warring and Kristian Smith at Zelle.

  • Insurance Commissioner's Agenda: NY On Industry Diversity

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    My Chi To, executive deputy superintendent of the New York State Department of Financial Services Insurance Division, discusses steps her agency is taking to promote diversity, equity and inclusion within the insurance industry and suggests practices for companies to consider adopting.

  • FCA Ruling Guides Insureds On Classifying Restitution Costs

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    In Astellas v. Starr Indemnity, an Illinois federal court recently held that a False Claims Act settlement qualified as insurable compensatory damages, not uninsurable disgorgement, providing an important guide to policyholders navigating the tax code's deductibility requirements and insurance policy exclusions, say attorneys at Reed Smith.

  • Subpoena Defense Cost Ruling Gets Insurance Law Wrong

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    A Connecticut federal court's recent decision that National Union Fire Insurance Co. of Pittsburgh didn't need to cover defense costs for a power utility's response to a grand jury subpoena included two crucial mistakes that contravene long-standing insurance law principles, say attorneys at Hunton.

  • Insurance Commissioner's Agenda: DC On Long-Term Care

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    Washington, D.C., Insurance Commissioner Karima Woods outlines the development of insurance coverage for older adults' long-term care benefits and how regulators and the industry are attempting to resolve issues with the popular product.

  • 5 Buyers' Counsel Tips For R&W Insurance Underwriting Calls

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    With representations and warranties insurance becoming more popular than ever, buyers' counsel participating in underwriting calls for such insurance should follow certain best practices to secure contracts with minimal exclusions, say Bryan O'Keefe and Gena Usenheimer at Seyfarth.

  • When A Denial Of Recovery-Based Insurance Claim Is Invalid

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    Two recent court decisions show that policyholders should not accept denials of coverage based on the uninsurability of restitution or disgorgement-based losses without a detailed, two-part analysis of the specific state's law and the particular facts of the loss, say Stephen Raptis and Emily Buchanan at Haynes and Boone.

  • Insurance Commissioner's Agenda: Del. Tackles Mental Health

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    Delaware Insurance Commissioner Trinidad Navarro highlights the state's efforts to achieve insurance coverage parity for mental health care by confronting systemic stigma and penalizing disparate and restrictive insurance determinations.

  • Key Takeaways From The NAIC Summer National Meeting

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    Stephanie Duchene and Kara Baysinger at Willkie highlight what insurance practitioners should know about top industry priorities from the National Association of Insurance Commissioners’ recent national meeting, including climate-related risk, diversity and inclusion, and technological innovation.

  • Considerations In Structuring Private Equity D&O Coverage

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    With the surge in investment activity driven by the ongoing pandemic recovery, private equity firms should carefully consider the scope of protection afforded by their directors and officers and general partnership liability programs, and how that coverage fits into their overall risk mitigation strategy, say Geoffrey Fehling and Syed Ahmad at Hunton and Rachel Beck at CAC Specialty.

  • The Complex State Of Insurance In The Cannabis Business

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    Jan Larson and Philip Sailer at Jenner & Block outline the complex cannabis regulatory schemes perplexing courts faced with insurance coverage cases and discuss legislative solutions that could at least begin to reduce the challenges for both policyholders and insurers.