Specialty Lines

  • January 05, 2024

    Hospital Says Travelers Owes Coverage For Physicians' Suit

    A Mississippi hospital said Travelers wrongfully denied coverage for a suit by two former physicians accusing the hospital of "malicious" and "outrageous" conduct, saying because the alleged wrongful acts occurred after the two were no longer hospital employees, a directors and officers exclusion does not apply.

  • January 04, 2024

    Geico Alleges Clinic Billed $2.5M In Fraudulent PIP Claims

    Seeking to recover more than $2.5 million, Geico has accused a pair of physicians of scheming to exploit the personal injury protection, or PIP, benefits of New York's no-fault insurance statute.

  • January 04, 2024

    Hanover Partially Settles Ga. Shooting Death Coverage Row

    The Hanover Insurance Co. settled its dispute with a trio of real estate companies over a shooting death at an apartment complex they manage in Georgia federal court Thursday, but maintained its ongoing dispute with the victim's estate.

  • January 04, 2024

    Md. Atty Not Owed Defense Coverage, 4th Circ. Finds

    A Maryland attorney is not entitled to defense costs under his law firm's insurance policy after he was indicted on allegations that he fraudulently seized control of $13 million in Somalian government funds, the Fourth Circuit has ruled, affirming in full a district court's summary judgment.

  • January 04, 2024

    Merck And Insurers Settle $1.4B Cyberattack Coverage Case

    Merck has reached a settlement with its insurers over whether the pharmaceutical giant's "all-risk" property insurance covered $1.4 billion in losses stemming from the 2017 NotPetya attack or if its "hostile/warlike" exclusion applies.

  • January 03, 2024

    No Coverage For Law Firm In Malpractice Suit, Insurer Says

    A law firm does not have coverage for a lawsuit accusing the firm of failing to bring a client's case against Johnson & Johnson to a new trial after the client's $48.2 million win was reversed, an insurer told a California court, saying a policy's retroactive date precludes coverage.

  • January 03, 2024

    Bulk Of Allegations Dismissed In Geico No-Fault Fraud Suit

    A New Jersey federal judge dismissed the bulk of fraud and racketeering allegations brought by Geico against a spine clinic and its medical director, concluding that the state's no-fault insurance statute requires arbitration for disputes over personal injury protection claims.

  • January 03, 2024

    Insurer Settles With Some Defendants In Virus Delay Cost Suit

    Four individual defendants settled with an insurer in its Florida federal court dispute against a construction company over claims on surety bonds during the COVID-19 pandemic, leaving the construction company as the sole active defendant in the case.

  • January 03, 2024

    Insurer Scores Partial Win In Contractor Project Cost Suit

    A Tennessee federal judge gave an insurer a partial win in its suit claiming a contractor owes more than $500,000 after the insurer paid to settle claims brought by two subcontractors regarding two separate projects, but denied its summary judgment bid against the contractor's related company.

  • January 03, 2024

    Detroit Condo Insurer Escapes Covering Underlying Clashes

    An insurer doesn't have to cover a Detroit condo facing suits over damaged fences, defamation and legal fees, a Michigan federal judge ruled, finding exclusions in the directors and officers policy doomed the claims.

  • January 02, 2024

    Insurer Can't Sue Over Moldy Forever 21 Clothes, Court Told

    A China-based freight logistics business urged a California federal court Tuesday to reject an insurer's bid for an early win in a lawsuit concerning a shipment of Forever 21 clothes that were purportedly damaged, saying the insurer hadn't shown that the cargo was actually marred.

  • January 02, 2024

    Lawyer's Liability Coverage Suit Sent Back To State Court

    A Pennsylvania federal judge overruled objections to a magistrate judge's recommendation that a dispute over coverage of an attorney accused of abuse of process be remanded to the state court from whence it came.

  • January 02, 2024

    Court Rejects Wells Fargo's Bid To Drop 'Human Wager' Suit

    Wells Fargo must continue facing a lawsuit accusing it of attempting to collect from a $4 million life insurance policy the insurer calls an "illegal human life wager," a New Jersey federal court ruled, also agreeing with the insurer that New Jersey law applies, not New York law.

  • January 02, 2024

    Insurer Drops Coverage Suit Over Firm's $459K Fraud Claim

    ALPS Property & Casualty Insurance Co. has dropped its suit against one of its insureds, a Vermont law firm, that was seeking coverage for a state court lawsuit claiming it lost a $459,000 mortgage payment to a scammer.

  • January 01, 2024

    Top Specialty Lines Rulings From The 2nd Half Of 2023

    The pivotal specialty lines decisions of 2023 tackled the nuances of policy language addressing the limits of exclusions, directors and officers coverage and coverage issues related to government investigation. Here, Law360 breaks down some of the most consequential specialty lines cases that wrapped up the year.

  • January 01, 2024

    Illinois Cases To Watch In 2024

    One of the biggest players in Illinois politics faces a criminal racketeering trial, a host of lawsuits filed under a decades-old genetic information privacy law will advance and the state's high court is expected to further weigh in on insurance coverage for litigation under the state's biometric privacy statute in some of the Illinois cases to watch in 2024.

  • January 01, 2024

    Insurance Legislation And Regulation To Watch In 2024

    The insurance industry is entering 2024 with a full plate of hot topic issues for legislation and regulation, including climate risk and data privacy, as rulemakers attempt to keep up with developing technologies and tackle home insurance challenges in vulnerable states. Here, Law360 looks at legislation and regulation topics the insurance industry will watch in the new year.

  • January 01, 2024

    The 5 Strangest Insurance Cases Of 2023

    Insurance protects policyholders from unforeseen situations, but some circumstances are so strange that even insurers couldn't have predicted them. Here, Law360 looks back on the strangest insurance cases of 2023.

  • January 01, 2024

    Top Specialty Lines Insurance Cases To Watch In 2024

    The new year promises to bring major decisions from the U.S. Supreme Court down to the district court level on issues affecting key questions in specialty lines of insurance coverage. Here, Law360 looks at specialty lines cases to watch in the first half of 2024.

  • December 21, 2023

    Manufacturer Says State Farm Stole Safe Driving Technology

    A New Mexico device manufacturer told a Texas federal court that State Farm is infringing two of its patents for safe driving technology that authenticates drivers and monitors vehicle operations via GPS through the insurer's "Drive Safe & Save" technology.

  • December 21, 2023

    Ky. Horse Breeder Files Motion For Dead Stud Coverage

    A stallion breeder tried to move toward a speedy victory in a dispute over insurance coverage for the death of a horse, telling a Kentucky federal court Thursday that the stud was undergoing legitimate treatment for lacking libido when a vitamin injection killed him.

  • December 21, 2023

    Taxpayer Group Seeks Revival Of San Jose Gun Law Fight

    A California taxpayers association urged the Ninth Circuit to revive its challenge to the city of San Jose's ordinance requiring gun owners to pay an annual gun harm reduction fee to a designated organization, saying a compelled donation to a private nonprofit violates gun owners' First Amendment rights.

  • December 21, 2023

    Crum & Forster, Contractor Settle Sewer Damage Dispute

    Crum & Forster and a general contractor accusing the insurer of failing to provide a "prompt and proper" defense in an underlying lawsuit over a damaged sewer line reached an agreement to resolve their dispute, the pair told a Washington federal court.

  • December 21, 2023

    Insurer Says No Coverage For Flight School Training Row

    A flight school doesn't have coverage for an underlying suit alleging misrepresentations were made about a program's certification and accreditation, its insurer told a North Carolina federal court, saying the flight school waited about two years too long to notify the insurer of the claims.

  • December 21, 2023

    Legal Marketing Biz Wants Hurricane Solicitation Suit Tossed

    A legal marketing company is urging the Southern District of Texas to accept a magistrate judge's recommendation to toss a proposed class action over troubled Houston law firm McClenny Moseley & Associates PLLC's allegedly illegal efforts to solicit clients in hurricane-related property damage cases.

Expert Analysis

  • Flawed NY Insurance Law Needs Amendments

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    The New York Comprehensive Insurance Disclosure Act, recently signed by the governor, imposes a multitude of problematic disclosure obligations on defendant-insureds, which the Legislature should — and likely will — seriously consider modifying or eliminating, says Richard Mason at MasonADR.

  • Beyond Insurance: Mitigating Cyber Risk In 2022

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    As insurers move to higher premiums and less coverage for cyberattacks, companies should consider restructuring their risk mitigation strategies for the upcoming year to lessen their reliance on insurance support for data security issues, say professionals at StoneTurn.

  • Justices May Hesitate To Review Calif. Fraud Coverage Case

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    In Adir International v. Starr Indemnity, the policyholders are asking the U.S. Supreme Court to review their challenge of a California law prohibiting insurers from defending insureds in certain consumer protection claims, but the court may not be ready to decide the issue at this time, says Greg Mann at Rivkin Radler.

  • NY Case Shows Insurance Possibility For SEC Disgorgements

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    Directors and officers insurers almost invariably deny coverage for payments described as disgorgements in settlement agreements with the U.S. Securities and Exchange Commission, but the recent decision of New York's highest court in J.P. Morgan v. Vigilant demonstrates how policyholders can negotiate an insurable settlement with the SEC, say Stephen Weisbrod and Tamra Ferguson at Weisbrod Matteis.

  • JP Morgan Ruling May Have Broad Insurance Implications

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    The New York Court of Appeals' recent decision in J.P. Morgan Securities v. Vigilant Insurance — that settlement funds paid to the U.S. Securities and Exchange Commission did not constitute a penalty for insurance purposes — could have far-reaching application in other types of insurance litigation where plaintiffs could be characterized as seeking equitable relief, say Robert Shulman and Cristen Rose at Paley Rothman.

  • Insurance Tips For Mitigating DOJ Cyber Initiative Risks

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    For companies and executives involved in False Claims Act actions alleging cybersecurity failures like those envisioned by the U.S. Department of Justice's new cyber fraud initiative, certain insurance policies could help defray the substantial costs of defense and even settlement liability, say attorneys at Hunton.

  • M&A Rulings Provide Guidance On 'Bump-Up' Claim Coverage

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    As M&A activity continues to surge, several recent federal court decisions can guide companies in structuring their insurance programs and assessing whether so-called bump-up claims arising from particular M&A transactions may be covered, say Robin Cohen and Orrie Levy at Cohen Ziffer.

  • BIPA Ruling Should Aid Insurers In Privacy Claims

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    Massachusetts Bay Insurance v. Impact Fulfillment Services, a recent decision by a North Carolina federal court finding that a Biometric Information Privacy Act claim was precluded under an insurance exclusion, represents a potentially significant win for insurers due to its broadly applicable contract interpretation, say Joshua Polster and Conor Mercadante at Simpson Thacher.

  • 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.