Insurance

  • May 18, 2017

    Insurer Can't Rescind Recycler's Policies, 9th Circ. Affirms

    Star Insurance Co. can't void a recycling company's policies despite misrepresentations on the policyholder's applications regarding the nature of its business, the Ninth Circuit affirmed Thursday, agreeing with a lower court that Star must cover claims stemming from an arson at the recycler's yard.

  • May 18, 2017

    Insurer Ducks Housing Discrimination Coverage At 6th Circ.

    The Sixth Circuit on Thursday upheld a lower court’s finding that a landlord had filed its insurance claim too long after it was informed of a discrimination complaint to be entitled to coverage from insurer Evanston Insurance Co.

  • May 18, 2017

    Insurer Needn't Pay $5M For Loan Fraud Loss, 6th Circ. Says

    The Sixth Circuit on Thursday ruled that Cumis Insurance Society Inc. doesn't have to pay $5 million under a fidelity bond to cover losses that a credit union suffered from an officer's fraudulent loan scheme, upholding the insurer's trial win before an Ohio federal court.

  • May 18, 2017

    Bermuda Insurer Fights MF Global's $1.8M Attys' Fee Bid

    Former MF Global excess insurer Allied World Assurance Co. Ltd. said in New York bankruptcy court Wednesday that it never violated court rules, despite the defunct company’s bid for $1.8 million in attorneys' fees over insurers' alleged failure to obtain court permission before filing an action to arbitrate a contract dispute in Bermuda.

  • May 18, 2017

    MSA Wants $2M More In Fees In North River Asbestos Fight

    A Pennsylvania state judge has been urged to tack another $2 million in legal fees and court costs onto a $58 million damages award against North River Insurance Co. in a dispute over coverage for asbestos-related product liability claims.

  • May 18, 2017

    Houston Atty Fights Disbarment Over Fake Car Crash Incident

    A Houston attorney who was disbarred after pleading guilty to his role in a criminal organization that fabricated a car crash and accompanying medical bills appealed his punishment to the Texas Supreme Court on Tuesday, arguing other attorneys have received lesser punishment for “more egregious” behavior.

  • May 18, 2017

    Painkiller Battles Loom Over NFL Despite Early Success

    A California federal judge this week decimated a lawsuit claiming 32 NFL teams and team doctors pushed players to abuse prescription painkillers, though the threat of an appeal and other individual claims over what some former players argue is a pervasive problem will continue to hang over the league.

  • May 18, 2017

    Chicago-Based Freeborn & Peters Opens New Fla. Office

    Freeborn & Peters LLP has opened a new office in Tampa, Florida, staffed by two former insurance, professional liability and qui tam litigators from Phelps Dunbar LLP, with plans to start a follow-on real estate practice as soon as possible.

  • May 17, 2017

    Ill. Has No Jurisdiction Over Mich. Losses, High Court Told

    An Indiana-based warehouse operator told the Illinois Supreme Court on Wednesday that it did not have sufficient business contacts with the state of Illinois to warrant a state trial court's jurisdiction over claims brought by Aspen American Insurance Co. on behalf of a fish importer after one of the company's warehouse roof collapsed in 2014, causing the importer to lose over $2 million worth of stored goods.

  • May 17, 2017

    Insurer Need Not Cover Worker's Bathroom Break Shooting

    An insurance company need not cover a cable installation company owner for claims arising from his attempted murder of his ex-wife and her daughter during his morning bathroom break under a general liability policy held by the business, a Florida federal jury decided Wednesday.

  • May 17, 2017

    Texas Court Weighs Reach Over Mexican Insurer, Broker

    A Dallas appellate panel on Wednesday questioned whether a Mexican candy manufacturing company with headquarters in Texas can use Texas courts to fight an insurer and an insurance broker it claims misrepresented a commercial liability policy for its plants in Mexico and Texas.

  • May 17, 2017

    W.Va. Justices Should Weigh Insurance Issue, 4th Circ. Told

    BrickStreet Mutual Insurance Co. on Tuesday asked the Fourth Circuit to seek the West Virginia high court's guidance on a key issue at the heart of Zurich American Insurance Co.'s appeal of a lower court's ruling that it must split with BrickStreet payments of workers' compensation benefits to a worker severely injured at a coal mine.

  • May 17, 2017

    Insurer Ordered To Defend 2 Au Pair Agencies In Wage Suit

    A Colorado federal judge on Tuesday ruled that Colony Insurance Co. must defend two au pair placement agencies in a collective action alleging they took part in a collusive scheme to set unreasonably low pay rates for program participants, while freeing the insurer from any duty to defend a third placement agency.

  • May 17, 2017

    Fla. Sober Home Owner Gets 27 Years For Fraud Scheme

    A Florida man who pled guilty to running a health care fraud scheme out of several sober homes and drug treatment facilities that he owned with his wife was sentenced on Wednesday to 27 years in prison.

  • May 17, 2017

    ING Gets Quick Win In Fraud Suit

    A California federal judge on Tuesday dismissed the last claims in a class action accusing ING USA Annuity and Life Insurance Co. of selling life insurance contracts to senior citizens that didn't pay out as promised, saying the firm did not breach its contract and gave customers sufficient warning

  • May 17, 2017

    Deals Rumor Mill: WaveDivision, Stonyfield, Global Atlantic

    A TPG business unit is nearing a deal to buy broadband cable operator WaveDivision for more than $2 billion, including debt, Grupo Lala is the frontrunner to buy U.S. organic yogurt business Stonyfield from Danone, and reinsurance company Global Atlantic Financial Group could go public this year.

  • May 17, 2017

    Foreign Boehringer Units Look To Ax Aggrenox MDL Claims

    A pair of foreign Boehringer units urged a Connecticut federal judge on Monday to throw out claims by Blue Cross and Blue Shield of Louisiana and Humana Inc. related to an alleged scheme to keep generic versions of the stroke-prevention drug Aggrenox off the market, saying the insurers failed to serve them properly.

  • May 17, 2017

    ACA Can't Shield Cab Co.'s Health Plan Change, NLRB Says

    The National Labor Relations Board ruled Tuesday that a Las Vegas cab company violated federal labor law by unilaterally shortening the time period new hires had to wait to receive health insurance, rejecting the company’s contention that the change was mandated by the Affordable Care Act and therefore not subject to bargaining.

  • May 17, 2017

    Proposed NY Rule Targets Auto Insurance Discrimination

    New York’s Department of Financial Services on Tuesday proposed a regulation in an effort to stem discrimination that would ban auto insurers from considering work status and education level when setting rates.

  • May 16, 2017

    Travelers Must Cover Charney Suit, Standard General Says

    Hedge fund Standard General LP urged a New York federal court on Monday to declare that Travelers Indemnity Co. must pay its defense costs for a defamation lawsuit by American Apparel’s founder that was recently defeated in a California appeals court.

Expert Analysis

  • Why Plaintiffs Bar Should Worry About Asbestos Suits

    Gregory Cade

    Asbestos-related cases have come to be known as the longest-running mass tort litigation ever, and they have collected a number of potential problems over time. Diminishment of trust funds for victims, loss of insurance coverage for asbestos defendants and long court backlogs are all potential issues attorneys must confront and discuss with their asbestos plaintiffs, says Gregory Cade of Environmental Litigation Group PC.

  • Opinion

    Why Criticism Of ALI's Insurance Restatement Is Valid

    A. Hugh Scott

    The saga of the American Law Institute's "Restatement of the Law - Liability Insurance" continues to unfold with a recent publication by the Restatement's authors, rebutting Professor George Priest's criticism. Based on the available information, Priest's view — that the Restatement will likely result in higher future premiums and potential decreased availability of coverage for consumers — appears to win the day, says A. Hugh Scot... (continued)

  • Insurance Lessons In The Wake Of Fyre Festival

    Jeffrey Schulman

    Fyre Festival's widely publicized failure should serve as a reminder of the significant economic risks posed by live events and the importance of preparing proper event cancellation and crisis management insurance, says Jeffrey Schuman of Liner LLP.

  • In Congress: House Out Of Town

    Richard Hertling

    After the most significant and dramatic week of the 115th Congress, having kept the government funded through the end of the fiscal year and passed its bill to repeal the Affordable Care Act, the House is on a scheduled district work period. The Senate is the only chamber in session this week, say Richard Hertling and Kaitlyn McClure of Covington & Burling LLP.

  • The Good, The Bad And The Ugly Of The AHCA

    Dennis Alessi

    Much of the mass media coverage of the American Health Care Act recently passed by the U.S. House of Representatives has focused on the same few aspects of the bill. Dennis Alessi of Mandelbaum Salsburg PC discusses several provisions that have not been reported as widely — but which are of significant importance — and the expected impact of the bill.

  • The Relevance Of Underwriting Files In Insurance Disputes

    Andrew Noll

    Courts routinely permit policyholders to discover documents from insurers' underwriting files, which can reveal their proprietary business information. Carefully crafted discovery requests seeking information from an underwriting file are justified, relevant and should be permitted in coverage actions, say Andrew Noll and Matthew Jacobs of Jenner and Block LLP.

  • Confusion Over Risk Corridors Program Payments Continues

    William Roberts

    For health insurers concerned about when they may receive government payments through the Affordable Care Act’s risk corridor program, court decisions have provided little clarity. The U.S. Court of Federal Claims' recent decision in Blue Cross and Blue Shield of North Carolina v. U.S. has only added to that uncertainty, say attorneys with Faegre Baker Daniels.

  • Insurance Industry’s Disgorgement Defense Hits A Wall

    Marshall Gilinsky

    For decades, policyholders seeking insurance claims have been bedeviled by insurance companies invoking the "disgorgement" defense. The New York Supreme Court's decision in JPMorgan v. Vigilant last month is part of a recent trend pushing back against this misused defense, say Marshall Gilinsky and Vivian Costandy Michael of Anderson Kill PC.

  • How The Byrd Rule Slowed Down GOP Health Care Reform

    Darryl Nirenberg

    While Republican leadership succeeded in securing 217 votes on Thursday to pass health care reform legislation in the House, standing in their way this past month has been a formidable obstacle: a rule devised by the late Sen. Robert C. Byrd as a feature of the budget reconciliation process, say attorneys with Steptoe & Johnson LLP.

  • Whither Arbitration Of Public Injunctive Relief?

    Cary Sullivan

    In McGill v. Citibank, the California Supreme Court stopped short of determining whether public injunctive relief is arbitrable. The decision should help refocus attention on the unresolved issues from Ferguson v. Corinthian Colleges, say Cary Sullivan and Chris Waidelich of Jones Day.