The Massachusetts Appeals Court recently held that an insurer’s refusal to pay any fees incurred by independent counsel hired by the insured was in bad faith, but also held that the insurer was only liable for reasonable fees that the insured actually paid, not counsel’s full rate. …
Read More Massachusetts Appeals Court Finds Insurer In Bad Faith In Fee Dispute

According to a recent article in propertycasualty360.com, a web site focused on developments in the P&C market, broker and risk adviser Marsh is counseling “clients affected by the unrest in Egypt to file an interim payment request….” …
Read More Insureds and Underwriters Concerned With Unrest in Egypt

In Global Process Systems Inc v Syarikat Takaful Malaysia Berhad [2011] UKSC 5, the Supreme Court unanimously upheld the Court of Appeal’s decision (previously reported here) that the appellant insurer was not entitled to rely on an exclusion for inherent vice contained within the contract as the proximate cause of the loss in question was a “peril of the sea”, not the nature of the subject matter insured. …
Read More UK: Supreme Court confirms narrow scope of inherent vice exclusions

In Jubilee Motor Policies (Lloyd’s Syndicate 1231) v Volvo Truck & Bus (Southern) Ltd & Anor [2010] EWHC 3641 (QB) the High Court was asked to strike out a claim brought by the claimant insurer, Jubilee, for a contribution under the Civil Liability (Contribution) Act 1978 (the Act). …
Read More UK: English High Court Confirms Narrow Construction of “same damage” under the Civil Liability (Contribution) Act 1978

In 2009, we reported on an action brought by Callon Petroleum Company (“Callon”) against National Indemnity Company (“NICO”) to recover for a judgment Callon obtained against NICO’s cedent, Frontier Insurance Company (“Frontier”). …
Read More New York Federal Court Rules That No Contractual Privity Exists Between Third Party Claimant and Reinsurer

In a “Dear CEO” letter dated 8 February 2011, Hector Sants announced that the FSA would adopt a new management structure on 4 April 2011, designed to reflect the “twin peaks” regulatory structure which the UK government intends to implement in 2013 (click here to see our most recent post on this subject). …
Read More UK’s FSA will reorganise business units on 4 April 2011

We previously reported on the judgment in the case of Masefield AG v Amlin Corporate Member Ltd [2010] EWHC 280 (Comm), [click here for our previous blog], concerning the interpretation of actual and constructive total loss under the Marine Insurance Act 1906 (the Act). …
Read More UK: Payment of Pirate Ransom Defeats Insured’s Claim for Actual Total Loss

On February 7, 2011, the Florida Senate and Banking Insurance Committee passed S.B. 178 (the “Bill”) by a vote of 8-2.  The Bill would amend Florida’s current rate filing laws to allow for the “use and file” of rates for commercial motor vehicle insurance covering fleets of less than 20 vehicles, fiduciary liability, general liability, nonresidential property, nonresidential multiperil and excess property insurance. …
Read More Florida Bill To Deregulate Rates For Certain Commercial Coverages Passes Senate Committee

William P. White has been selected to be the new Commissioner of the District of Columbia Department of Insurance, Securities and Banking (“DISB”) by Mayor Vincent Gray.  He has significant experience in the insurance industry, particularly with alternative risk transfer (ART) transactions and captive insurance companies. …
Read More White Selected As Commissioner of the District of Columbia Department of Insurance, Securities and Banking

On January 25, lawmakers in both the House and Senate introduced companion bills that would immediately repeal the $20 billion tax on medical devices that was included in the new healthcare reform law – the Patient Protection and Affordable Care Act (PPACA). …
Read More Healthcare News from Capitol Hill and the Department of Health and Human Services – February 7, 2011