Specialty Lines
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November 21, 2024
Concerns Remain Over Pricing In Final Calif. Insurance Rule
Insurers in California will be able to price policies using catastrophe models meant to predict future climate risks, but they must adhere to one of several options for increasing coverage availability, under a final rule that has left lingering concerns. Here, Law360 provides a background and overview of the regulation on catastrophe modeling and ratemaking.
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November 21, 2024
9th Circ. Affirms Reapportionment In Soil Cleanup Dispute
After the discovery of decades-old policies, an insurer is entitled to reapportionment in a contamination cleanup despite a cost-sharing agreement, the Ninth Circuit affirmed, asking a lower court in a decision released Thursday to also apply state law when revisiting the division of defense costs.
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November 21, 2024
4 Federal Agencies Insurance Attys Must Watch Under Trump
As President-elect Donald Trump continues to build a cabinet for his second term in office, federal agencies are preparing for a transition to an administration that will de-emphasize regulation, which could result in fewer claims for insurers and more transactions for corporate policyholders, experts say. Here, Law360 takes a look at four federal agencies ripe for change that may have a ripple effect on insurance.
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November 21, 2024
Insurance Litigation Week In Review
The U.S. Supreme Court declined to review a coverage dispute over a man's wood chemical exposure, the Eleventh Circuit affirmed that Lloyd's of London underwriters don't have to cover an investor suit and a California federal court said Truck Insurance Exchange must arbitrate its asbestos coverage claims. Here, Law360 takes a look at the past week's top insurance news.
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November 21, 2024
11th Circ. Asked To Rethink $100M Credit For John Hancock
The Eleventh Circuit should reverse its decision allowing John Hancock Life Insurance Co. to keep $100 million in foreign tax credits that rightfully belong to the company's investors, trustees of a retirement plan said in arguing that the court overlooked a key U.S. Treasury regulation.
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November 20, 2024
11th Circ. Says No Coverage For Holding Co. In $11.7M Row
The Eleventh Circuit unanimously affirmed Wednesday that an insurer doesn't have to cover underlying litigation against a holding company by investors who wanted to revoke an $11.7 million buy-in, because claims were made before the policy was active.
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November 20, 2024
Burger King Franchisee Escapes BIPA Coverage Counterclaim
An Illinois federal judge has axed an AIG subsidiary's counterclaim in a Burger King franchisee's lawsuit seeking coverage for an underlying case accusing it of violating Illinois' biometric privacy law, concluding that the counterclaim is redundant and "adds nothing that will not be decided through resolution of the motions for summary judgment."
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November 19, 2024
UnitedHealthcare Can't Escape Patient's Proton Beam Suit
A Florida federal judge on Tuesday refused to toss a federal benefits lawsuit from a patient who alleged that UnitedHealthcare wrongly denied him coverage for proton beam therapy to treat tongue cancer, rejecting the insurer's argument that an exclusion for unproven treatments applied.
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November 19, 2024
Parties Voluntarily Toss Sewer Expansion Coverage Row
An Indiana federal court dismissed a lawsuit Tuesday from a utility company's insurer seeking to avoid covering a $5 million consent judgment and a $14 million damages claim from underlying litigation concerning a sewer expansion plan, after it was told in September the parties reached a global settlement in principle.
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November 18, 2024
Pa. Lab Seeks Ad Coverage For Libel Suit Over COVID Tests
A Pennsylvania laboratory told a federal court Monday that its insurer must cover it in an underlying lawsuit brought by a COVID-19 test manufacturer in which the manufacturer alleged that the lab sent 19,000 letters to test kit users wrongfully stating that the tests were unreliable.
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November 18, 2024
Trump Co. Seeks Coverage Of Wage Theft, Discrimination Suit
The Trump Corp. asked a New York federal court to force an insurer to defend it in a more than $500,000 wage theft and age discrimination dispute brought by a former employee of a company-managed luxury condo in Manhattan.
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November 14, 2024
Insurance Industry Key In Net-Zero Transition, UN Group Says
The insurance industry must take a more meaningful approach to promoting climate-friendly underwriting and investment practices in support of the transition to a net-zero economy, the United Nations' insurance-climate initiative reported Thursday.
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November 14, 2024
Election Highlights States' Role On Insurer Climate Risks
Working together to understand climate change risks to insurers and their policyholders should be a priority for state regulators, as already limited federal initiatives to study those risks are set to decrease in a Trump administration, risk and climate experts say.
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November 14, 2024
Mortgage Co. Seeks Coverage For $30M Cyber Attack Loss
Mortgage servicer Mr. Cooper Group Inc. accused units of AIG and Berkshire Hathaway of violating Texas' insurer deceptive trade practices and unfair claim settlement laws, telling a Texas federal court Thursday they've failed to fully cover more than $30 million in losses from an October 2023 hacking incident.
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November 14, 2024
Insurance Litigation Week In Review
The First Circuit upheld a Berkley unit’s win in a construction defect coverage suit, the Ninth Circuit affirmed that an unlawful exclusion in an auto policy should be reformed and not voided, and the Third Circuit heard oral arguments in a vehicle valuation class action against Progressive. Here, Law360 takes a look at the week's top insurance news.
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November 13, 2024
Insurer Says Condo That Prevented Hunting Has No Coverage
The insurer for a homeowners association asked a South Carolina federal court Wednesday to determine that a dispute over the organization's attempt to ban residents from hunting deer on their property was not owed coverage under its policy's provisions.
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November 13, 2024
Insurers Say Hyundai, Kia Should Pay For Combusting Cars
A slew of insurers for owners of certain Hyundai and Kia vehicles are suing the companies in a case removed to California federal court Wednesday, seeking to recoup costs associated with almost a decade of claims for cars that allegedly spontaneously combust and have not been fixed by the manufacturers.
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November 13, 2024
Perkins Coie Insurance Litigator Returns From Pillsbury
Perkins Coie LLP is rehiring an insurance litigator from Pillsbury Winthrop Shaw Pittman LLP, as the firm's insurance recovery work has more than doubled in the past three years, that group's practice chair told Law360 Pulse on Wednesday.
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November 12, 2024
Freddie Mac Gets Partial Win In SEC Probe Coverage Dispute
Government-backed mortgage buyer Freddie Mac cannot obtain coverage solely because its employees received subpoenas from the U.S. Securities and Exchange Commission, a D.C. federal court ruled while also holding that the lender's excess insurers cannot challenge a lower-layer insurer's coverage determination.
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November 07, 2024
Trump Election Complicates Growing Insurance Climate Crisis
Donald Trump's election to a second term as president is a huge setback for global efforts to curb climate change, and his disregard for the environment will likely complicate efforts to better understand climate risks facing insurers and consumers, experts say.
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November 07, 2024
State Farm Owes No Coverage For Exec In Fatal Crash Suit
A repair company's president who was involved in a fatal accident while driving a truck he personally owned but also used on the job can't be covered under its commercial auto policies, an Alaska federal court ruled, noting it's undisputed he was on a personal errand at the time.
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November 07, 2024
Insurance Litigation Week In Review
Insurers sought to limit coverage for Alexion Pharmaceuticals Inc. in underlying securities claims, a proposed class of Washington Airbnb users accused the company's insurers of including undisclosed fees in their travel insurance and two Hartford units said Meta isn't owed coverage for numerous public nuisance lawsuits. Here, Law360 takes a look at the past week's top insurance news.
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November 07, 2024
Insurance Industry Biodiversity Push Comes Down To Funds
The insurance industry could lend crucial support in preventing biodiversity loss through novel risk-sharing instruments, but its effectiveness will depend on the ability to finance coverage costs, and understand the risks to biodiversity in a variety of ecosystems.
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November 07, 2024
6th Circ. To Mull CGL-Cyber Line In Home Depot Hack Fight
The Sixth Circuit's consideration of whether an electronic data exclusion relieves commercial general liability insurers for Home Depot of $50 million in data breach coverage obligations could provide some clarity on when, or if, CGL and cyber coverage overlap.
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November 05, 2024
An Early Look At Trump's Supreme Court Shortlist
With former President Donald Trump projected to win the 2024 presidential election and the Republicans' success in securing the U.S. Senate majority, Trump may now get the chance to appoint two more justices to the U.S. Supreme Court, cementing the court's conservative tilt for decades to come.
Trump Win Injects Uncertainty Into Volatile Cyber Market
President-elect Donald Trump's promises to pursue broad deregulation and realign the nation's geopolitical priorities add uncertainty into an already volatile cyberinsurance market, one in which threats have evolved substantially since his first term.
6th Circ. Grills Home Depot Over Data Breach Coverage Fight
Home Depot urged a Sixth Circuit panel to find that a contested electronic data exclusion in its commercial general liability excess policies was ambiguous, "tacking a crack" at persuading the appellate court that a 2014 data breach didn't involve the loss of use of electronic data.
Trump Win Shakes Up D&O Coverage Risks Across Sectors
The reelection of former President Donald Trump this week promises to usher in a starkly different administration and regulatory approach, scrambling the current risk landscape for directors and officers and their insurers.
Expert Analysis
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How D&O Coverage Can Aid Against Increased AI Scrutiny
The recent increase in regulatory enforcement and securities class actions stemming from corporate use of artificial intelligence should prompt companies to ensure that their directors and officers liability insurance coverage is appropriately tailored to AI-related risks, say attorneys at Reed Smith.
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8 Tech Tips For Stress-Free Remote Depositions
Court reporter Kelly D’Amico shares practical strategies for attorneys to conduct remote depositions with ease and troubleshoot any issues that arise, as it seems deposition-by-Zoom is here to stay after the pandemic.
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4 Ways Attorneys Can Emotionally Prepare For Trial
In the course of litigation, trial lawyers face a number of scenarios that can incite an emotional response, but formulating a mental game plan in advance of trial can help attorneys stay cool, calm and collected in the moment, says Rachel Lary at Lightfoot Franklin.
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Presidential Campaign Errors Provide Lessons For Trial Attys
Vice President Kamala Harris’ presidential campaign employed numerous strategies that evidently didn’t land, and trial attorneys should take note, because voters and jurors are both decision-makers who are listening for how one’s case presentation would affect them personally, says Reuben Guttman at Guttman Buschner.
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Putting NYDFS AI Cybersecurity Guidance Into Practice
New guidance from the New York Department of Financial Services explains how financial institutions should assess and mitigate cybersecurity risks associated with artificial intelligence, focusing on four main threats and highlighting how varying environments require specific mitigation measures, say attorneys at Saul Ewing.
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Recent Developments In Insurance Coverage For FCA Claims
As the U.S. Department of Justice continues its vigorous False Claims Act enforcement, companies looking to their insurers to help defray the costs of an investigation or settlement should note recent decisions on which types of policies cover FCA claims, which policy periods apply and which portions of FCA-related losses are covered, say attorneys at Covington.
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Consider The Impact Of Election Stress On Potential Jurors
For at least the next few months, potential jurors may be working through anger and distrust stemming from the presidential election, and trial attorneys will need to assess whether those jurors are able to leave their political concerns at the door, says Ken Broda-Bahm at Persuasion Strategies.
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NC Ruling Takes Practical Approach To Duty-To-Defend Costs
In Murphy-Brown v. Ace American Insurance, a case of first impression, the North Carolina Business Court adopted the commonsense rationale of many state courts in holding that policyholders' defense costs should be deemed presumtively reasonable when a insurer breaches its duty to defend, say attorneys at McGuireWoods.
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A Look At Insurance Coverage For Government Investigations
Attorneys at Jenner & Block discuss the quirks and potential pitfalls of insurance coverage for government claims and investigations, including those likely to arise from the U.S. Department of Justice's recently announced whistleblower program.
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Why Diversity Jurisdiction Poses Investment Fund Hurdles
Federal courts' continued application of the exacting rules of diversity jurisdiction presents particular challenges for investment funds, and in the absence of any near-term reform, those who manage such funds should take action to avoid diversity jurisdiction pitfalls, say attorneys at Sher Tremonte.
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7 Tips To Help Your Witness Be A Cross-Exam Heavyweight
Because jurors tend to pay a little more attention to cross-examination, attorneys should train their witnesses to strike a balance — making it tough for opposing counsel to make their side’s case, without coming across as difficult to the jury, says Ken Broda-Bahm at Persuasion Strategies.
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Insurance Considerations For Cos. That May Face Strikes
The recent surge in major work stoppages in the U.S. highlights the growing importance of strike preparedness for businesses, which includes understanding strike insurance coverage options, say Chris D’Amour and Brooke Duncan at Adams and Reese.
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Challenges Of Insuring An NIL Collective
Sarah Abrams at Baleen Specialty examines the emergence of name, image and likeness collectives for student-athletes, the current litigation landscape that has created a favorable environment for these organizations, and considerations for director and officer insurers looking to underwrite NIL collectives.