The appellate division of New York's Supreme Court has affirmed a judgment against American Guaranty and Liability Insurance Co., finding the insurer had the duty to defend a client accused of fraud and Racketeering Influenced and Corrupt Organizations Act violations in a federal lawsuit.
An asbestos litigation trust created through the bankruptcy proceedings of auto parts maker Federal-Mogul Corp. has asked a federal court to approve a settlement with eight entities of litigation insurance provider American International Group Inc.
With the wave of litigation from Hurricane Katrina still going strong, the American Bar Association is taking a closer look at a number of policies to cut down on litigation after catastrophes, reduce the risk of loss from future disasters and help victims.
The Florida insurance commissioner has rejected State Farm Insurance Co.'s request to raise its rate for homeowners insurance in the state by an average of almost 50 percent, ruling that the insurer failed to prove that the rate is not excessive or unfairly discriminatory.
The Pension Benefit Guaranty Corp. has become a creditor in the liquidation proceedings of disgraced financier Bernard L. Madoff's investment firm, with the government-backed insurer poised to pick up the pension tab for one of the companies that fell prey to the alleged $50 billion investment scheme.
The creation of a national catastrophe fund has been hotly debated, but more than three years after the worst natural disaster in U.S. history, experts remain divided as to whether a federal backstop would be an effective – or fair – means of spreading the risk in an already overburdened economy.
A long-simmering debate over who can best regulate insurance – the states or the federal government – may reach a breaking point as Congress and the new administration consider the causes of the economic downturn and the role of regulation.
Insurance attorneys are keeping a close eye on how the courts will handle coverage battles arising from a number of underlying disputes, with fallout over the U.S. financial crisis likely to continue setting litigation trends. But climate change and invasion of privacy issues are also at the forefront, yielding cases to watch in 2009.
Insurance practice groups are certainly feeling the turbulent effects of the recession, but attorneys who represent both insurance companies and policyholders have told Insurance Law360 that they are busier than ever, thanks to an overall uptick in litigation in the past few months.
A Bank of Montreal unit has agreed to buy American International Group Inc.'s Canadian subsidiary AIG Life of Canada for $308 million in cash.
Old Republic National Title Insurance Co. has agreed to pay $3.3 million to settle a class action suit that accused the company of overcharging for title insurance in residential refinance transactions in New Jersey.
Nation Union Fire Insurance Co. of Pittsburgh, Pa., is demanding that an Ohio district court issue a judgment in the insurer's favor in a third-party case brought by Advance Payroll Funding Inc.
A federal judge has ruled that Great American Insurance Co. has a duty to defend a Texas law firm in a legal malpractice suit that was reported to the insurer after the “claims made” policy had expired because the suit was related to another claim that had been reported during the term of the policy.
High stakes coverage disputes between insurers and policyholders are likely to follow the surge in investor suits spurred by the subprime mortgage market crash, but just how these battles will be waged remains to be seen, insurance lawyers say.
In a suit alleging that a unit of insurer American International Group Inc. failed to provide Intel Corp. with agreed-upon litigation coverage, a judge has postponed a ruling in order to give AIG more time to conduct discovery and allow another insurer, Markel American Insurance Co., to intervene in the dispute.
Bernard L. Madoff's alleged $50 billion Ponzi scheme has investors searching for cash anywhere they can find it and investment advisers, banks and hedge funds running for cover. When those initial claims are settled, litigation with insurance companies over paying the defrauded will just be gearing up.
A federal judge has ruled that attorney-client privilege protects an e-mail sent to Aon Corp.'s deputy general counsel containing a draft of the company's annual U.S. Securities and Exchange Commission report, and has refused a discovery bid for the document by plaintiffs in a shareholder class action against the reinsurance brokerage.
A federal judge has preliminarily approved a proposed class action settlement and granted conditional certification to hundreds of former employees of insurance company CNA Financial Corp. who claimed they were illegally terminated because of their age when their division was sold to Cunningham Lindsey U.S. Inc.
As his cabinet continues to takes shape less than two weeks from his inauguration, President-elect Barack Obama is expected to keep U.S. Federal Deposit Insurance Corp. Chairwoman Sheila C. Bair in her post, Democratic officials said Wednesday.
Though W.R. Grace & Co.'s Chapter 11 plan has yet to be confirmed, objections over the bankrupt materials company's reorganization proposal are rolling in, with insurance companies taking issue with the way asbestos claims are being handled.