Specialty Lines

  • February 01, 2024

    Policy Language Copyright Suit Must Continue, Court Told

    An insurance policy licensing group and an underwriting company told a Connecticut federal judge that their copyright claims alleging a competitor stole key and unique policy language cannot be tossed, saying a carrier's motion to dismiss raises a fact issue that precludes dismissal.

  • February 01, 2024

    Ill. Genetics Law Spares Life Insurance Sector, Prudential Says

    Prudential argued Tuesday that an Illinois federal judge should toss accusations it unlawfully requested an applicant's family medical history and considered that information when denying life insurance coverage, saying the Illinois Genetic Information Privacy Act "simply doesn't apply to life insurance."

  • January 31, 2024

    Consumer Slams Car Care Provider's Exit Bid In Contract Suit

    A Washington state vehicle owner urged a federal court to preserve her suit against a vehicle care protection provider and its insurer alleging they sold agreements lacking key disclosures, saying the agreement is a service contract under consumer protection laws.

  • January 31, 2024

    Nev. Supreme Court Ruling Helps Title Insurer Beat HSBC

    A title insurer doesn't have to cover underlying litigation brought against HSBC Bank in connection with the foreclosure sale of Las Vegas property it owned as a mortgage lender, a Nevada federal judge found, citing a state Supreme Court decision.

  • January 31, 2024

    Electric Co. Says Insurer Refuses To Defend BIPA Suit

    An electric company told an Illinois federal court that its insurers wrongfully refused to defend or indemnify it against an underlying proposed class action in state court by an employee who alleged the company violated the state's Biometric Information Privacy Act.

  • January 31, 2024

    College Philanthropy Slams Dismissal Bid In IP Coverage Suit

    A philanthropy associated with Kansas State University urged a Kansas federal court to keep alive its counterclaims in a fight over coverage for a lawsuit accusing it of stealing a man's idea relating to economic development, saying it met the pleading standards for this stage of litigation.

  • January 31, 2024

    Lab Says $7M Stolen Data Is Property And Should Be Covered

    A national medical testing lab told a Pennsylvania federal court that patient treatment records and at least $7 million of billing data allegedly hijacked by its software contractor was property and should therefore be covered by its insurer. 

  • January 30, 2024

    Chubb Unit Seeks To Toss Years-Old Ruling After Settlement

    A Chubb unit asked an Illinois federal court to vacate a September 2021 ruling against it in the insurer's coverage dispute with a holding company over an underlying self-dealing suit, arguing that any precedential value it has is outweighed by the parties' interest in resolving the case.

  • January 30, 2024

    Red Sea Hostilities Ripple Through Maritime Insurance Market

    Attacks against commercial ships passing through the Red Sea and nearby areas are sending ripples through the global trading system and threatening to capsize the maritime insurance industry responsible for underwriting risks to vessels.

  • January 30, 2024

    Fennemore Craig Growing In Calif. With Sullivan Hill Merger

    In its latest West Coast expansion, Fennemore Craig PC announced Tuesday it is widening its footprint in San Diego through a merger with Sullivan Hill, with the latter's experts in insurance, construction, commercial bankruptcy and employment law joining Fennemore's existing four-attorney team in the city.

  • January 30, 2024

    Full 4th Circ. Declines Atty's Coverage Case In Fraud Defense

    The full Fourth Circuit won't hear a Maryland attorney's arguments after a panel determined he is not entitled to defense costs from his firm's insurer concerning his indictment on charges that he defrauded financial institutions to gain control of $13 million in frozen Somali assets.

  • January 29, 2024

    5 Floridians Sentenced For $67M Medicare Testing Scam

    A man accused of leading a $67 million healthcare fraud conspiracy involving unnecessary genetic testing for Medicare recipients was sentenced to 14 years in prison, along with four co-conspirators who received lesser sentences from a Florida federal judge as recently as Monday.

  • January 29, 2024

    NC Court Pares Down Crop Insurance Coverage Row

    A North Carolina federal judge trimmed a crop insurance dispute brought by a farm alleging that its insurance agent didn’t properly submit the coverage application or inform the farm’s owners of coverage, dismissing all claims against the insurer but leaving several against the agent.

  • January 29, 2024

    DOJ Says Wash. Hospital Had Role In Spinal Surgeon Scandal

    A Tacoma, Washington-based hospital operator failed to address red flags that one of its doctors was performing unnecessary surgeries, instead earning millions of dollars from the neurosurgeon's dangerous misconduct by fraudulently billing the government for his work, federal and state prosecutors have alleged. 

  • January 29, 2024

    Increase In Trafficking Reveals Hospitality Coverage Concerns

    As human trafficking continues to increase and travel returns to prepandemic levels, hospitality industry policyholders may see more direct trafficking exclusions and increased education requirements as the insurance industry works to address this growing risk, experts said.

  • January 29, 2024

    Nevada Recycler Denied Redo For SEC Suit Coverage

    A Nevada federal court will not reconsider its ruling that a recycling company does not have coverage for costs stemming from a U.S. Securities and Exchange Commission fraud action, saying that the company's arguments didn't fit the criteria for a redo.

  • January 29, 2024

    Protein Bar Co.'s Insurer Says Supplier Ruined $3M In Product

    An insurer for a Pittsburgh-based protein-bar maker said the company lost $3 million due to plastic and paper contaminants found in collagen supplied by a Michigan-based company, according to a lawsuit filed in Pennsylvania state court Friday.

  • January 29, 2024

    Escrow Agent Not Covered For Fraud Suits, Court Told

    An escrow agent no longer has coverage for four underlying suits accusing it of unlawfully withholding funds or distributing them to third parties who had no valid claim to the money, an insurer told a Florida federal court, saying its theft coverage extension endorsement has been exhausted.

  • January 26, 2024

    Auto Biz Says Insurer Can't Escape $500K Damage Claims

    A vehicle lift installer urged a Minnesota federal court to preserve its counterclaims in a coverage dispute over nearly $500,000 in claims stemming from fire damage and a tipped container, arguing that its insurer constructively denied most of the claim by repeating investigations and denying payments for over a year.

  • January 26, 2024

    Missing Comma Can't Impede Chubb Policy, 11th Circ. Told

    A French food wholesaler urged an Eleventh Circuit panel Friday to reverse a lower-court ruling that an insurance company does not have to cover a lawsuit for alleged negligent audits due to a policy clause's missing comma, arguing that the New Jersey law applied in the case favors broad interpretation.

  • January 26, 2024

    Insurer Pushes For Glass Co. To Cover $2.5M Defect Payment

    Crum & Forster is demanding that an Indian glass manufacturer reimburse it more than $2.5 million that the insurer paid a candlemaker for a product recall, telling a Texas federal court that the company sold the candlemaker defective glass containers.

  • February 08, 2024

    Law360 Seeks Members For Its 2024 Editorial Boards

    Law360 is looking for avid readers of its publications to serve as members of its 2024 editorial advisory boards.

  • January 26, 2024

    Geico Seeks $3M From Med Cos. In Claimed No-Fault Scheme

    Geico told a New Jersey federal court it is seeking to recover nearly $3 million from a group of New Jersey medical providers and their owners and practitioners who the insurer alleges partook in a no-fault charge scheme that defrauded the insurer's policyholders since 2017.

  • January 25, 2024

    Excess Insurers Win In Construction Defect Coverage Suit

    A residential developer wrongly tapped into certain excess insurance, a California federal judge ruled Thursday, finding that the $3.2 million its primary insurer spent on defense costs in underlying construction defect litigation didn't count toward triggering a $10 million excess policy.

  • January 25, 2024

    Mining Co. Not Covered For Wrongful Death Suit

    A mining company does not have coverage from its general liability or workers' compensation insurers for an underlying wrongful death suit, a Pennsylvania court ruled, finding that an exclusion applied for one policy and the underlying claims weren't within the scope of the other.

Expert Analysis

  • Insurance Perils For Health Providers Using 3D-Printing Tech

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    As the medical polymer market quickly grows amid burgeoning demand for the 3D printing of medical devices, a recent case involving liability for a 3D-printed dental implant surgery exposes the potential gap in medical malpractice and product liability coverage for health care professionals designing and using these products, says Paul Farquharson at Semmes.

  • Insurance Ruling Provides Lessons On Cyberattack 'Twofers'

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    A recent Minnesota federal court decision, SJ Computers v. Travelers, illustrates how an insurance policy with separate limits for computer fraud and social engineering fraud applies to a cyberattack with both components, say Joshua Polster and Laurel Fresquez at Simpson Thacher.

  • D&O Insurer Challenges Amid Market, Economic Turbulence

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    The decline of record market capitalizations, compounded by high litigation and securities class action exposure, leaves directors and officers insurance carriers and issuers facing economic contraction as companies grapple with the institutionalization of environmental, social and governance investment priorities amid a new Cold War, say Nessim Mezrahi and Stephen Sigrist at SAR.

  • Risk Mitigation In Face Of Rising Legal Malpractice Claims

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    As the recent rise in frequency and cost of legal malpractice claims is expected to continue amid global high inflation and economic uncertainty, law firms and insurers would be wise to evaluate key risk areas and consider six steps to minimize exposure, say Nicole Shapiro and Cory Stumpf at Atheria Law.

  • 2 Illinois Cases Poised To Shape BIPA Litigation Landscape

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    The Illinois Supreme Court's anticipated rulings in Tims v. Black Horse and Cothron v. White Castle could alter the outlook for Biometric Information Privacy Act litigation, putting an end to companies' and insurers' willingness to pour money into expensive settlements, say Pamela Signorello and Megan Brown at Wiley.

  • What Del. Officer Exculpation Law Means For D&O Insurance

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    Following a recent Delaware code amendment to allow corporate exculpation of officers, businesses considering whether to update their articles of incorporation accordingly should factor in the potential benefits respecting the availability and cost of directors and officers insurance, say Bryan Coffey and Peter Gillon at Pillsbury.

  • 7th Circ. 'Reasonable Costs' Ruling Is A Win For Policyholders

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    The Seventh Circuit's decision in USA Gymnastics v. Liberty Insurance last month establishes useful precedent for policyholders, affirming and expanding on its rule that defense costs are presumed to be reasonable and necessary when insurers breach their duty to defend, say attorneys at Reed Smith.

  • Insurance Implications For Aircraft Grounded In Russia

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    Russia's invasion of Ukraine and new law that allows the government to ground planes leased from foreign companies threatens massive losses for insurers in the aviation insurance market and necessitates a closer look at which policy exclusions may apply, say attorneys at Hinshaw.

  • What Snap Removal Debate Means For Insurance Disputes

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    A potential circuit split regarding the permissibility of snap removal to federal court, which allows defendants to circumvent the forum defendant rule, is particularly a concern in insurance cases due to the difficulty of removing such cases, and the perception that some state courts are more favorable to policyholders, says Greg Mann at Rivkin Radler.

  • How D&O Insurers Can Limit Bankruptcy Exclusion Risks

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    Amid challenging economic conditions, directors and officers underwriters can't always rely on insolvency exclusions to protect against insured's bankruptcy claims, but there are ways to limit risk exposure, like by adding creditor exclusions or sublimiting coverage, say Kristine Christ at Crum & Forster, and Scott Schechter and Joshua DiLena at Kaufman Borgeest.

  • Questions Remain On Computer Fraud Coverage For Phishing

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    There are questions regarding the applicability of computer fraud coverage to phishing scheme losses in the wake of the Ninth Circuit's decision in Ernst & Haas v. Hiscox earlier this year, with a backdrop of differing case results and evolving fact patterns over the past few years, say Robert Callahan and Melissa D’Alelio at Robins Kaplan.

  • Insurers Must Be Vigilant About Cannabis Lounge Risks

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    Because cannabis lounges face a number of unique risks, such as overserving cannabis to patrons, insurers and risk management providers must be able to recognize and properly address the full range of potential liabilities, say Jonathan Isaacson and Adam Nicolazzo at Kaufman Dolowich.

  • Insurers Should Beware Risks From Digital Asset Losses

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    Personal lines insurers should not underestimate the potential severity of future exposure to digital asset loss claims, and should consider protecting themselves with new underwriting practices and policy exclusions, say attorneys at Sidley.