IL Federal Court finds injured 3rd party hockey player can sue league’s broker for failure to procure correct coverage. Plaintiff Kyler Moje (“Moje”) filed suit against the Federal Hockey League (“FHL” or  “League”), the National Casualty Company (“National Casualty”) and the David Agency Insurance (“David Agency”) seeking a declaratory judgment regarding coverage under an insurance policy between the League and... Read More

Subjective belief no “claim” existed irrelevant when “circumstances” reasonably suggested a claim possible. In an opinion written by Judge Amy J. St. Eve, the U.S. District Court for the Northern District of Illinois granted Minnesota Lawyers Mutual Insurance Company’s (“MLM”) motion for summary judgment allowing MLM to rescind the professional liability policies that MLM issued to Jerry A. Schulman, an... Read More

 “Four Corners” Rule only applies when insurer denies and does not file DJ or defends under reservation of rights. In an opinion authored by Judge Diane Sykes, joined by Judge Bauer and Judge Flaum, the Seventh Circuit, applying Illinois law, held that Landmark American Insurance Company (“Landmark”) can introduce extrinsic evidence outside of the underlying complaints to dispute a broker’s... Read More

IL Federal Court certifies class alleging State Farm colluded to tilt balance on Supreme Court in its favor. Judge David R. Herndon of the U.S. District Court for the Southern District of Illinois certified a class of 4.7M policyholders who had filed a Racketeer Influenced and Corrupt Organizations Act (“RICO”) suit against State Farm Mutual Automobile Insurance Co. (“State Farm”)... Read More

Delaware High Court Applies NY “Injury-In-Fact” Law And Holds Bodily Injury Occurs From Exposure To Asbestos To Manifestation Of Disease. The Delaware Supreme Court, applying New York law, determined based on the jury’s findings and the parties’ arguments from the lower court proceedings that bodily injury first occurs from an individual’s significant exposure to asbestos and continues thereafter, thereby requiring... Read More

NY Appellate Court Holds Policyholder Liable For Periods Where Insurance Unavailable In Marketplace.    A New York appellate division court, applying New York law, held Century Indemnity Company (“Century”) has no obligation to indemnify its insured for losses that are attributable to time periods when liability insurance was unavailable in the marketplace.   The court analyzed the specific policy language at... Read More

Heard Argument On Whether “Arising Out Of Asbestos” In Exclusion Only Applies To Raw Asbestos And Not Products. Last week, the U. S. Court of Appeals for the Third Circuit heard oral arguments surrounding the interpretation of an asbestos exclusion found in Travelers Surety & Casualty Co.’s (“Travelers”) insurance policies.  The case is on appeal from the United States District... Read More

Medical Health Insurers Allege Intentional Failure To Honor Their Subrogation Rights In “Secretive” Bankruptcy Trust Recoveries. Aetna Inc., United Healthcare Services, Inc., and Humana, Inc. (“insurers”) brought suit against six Texas law firms who represent asbestos plaintiffs in Texas Federal Court seeking reimbursement of $19.5M for medical expenses paid by the insurers for the law firms’ clients that had received... Read More