Last week, an Indiana charity that “makes wishes come true” for children with life threatening illnesses filed arbitration claims over subprime related losses it allegedly suffered in a bond fund managed by Morgan Keegan & Co. The Indiana Children’s Wish Fund claims that it lost $48,000, or 22% of its $220,000 investment, in the Regions Morgan Keegan Select Intermediate Bond Fund.
Read More Indiana Charity Files Arbitration Claims Against Bond Fund Advisor Over Subprime Losses
Coverage & Claims
New Hampshire Supreme Court Adopts Pro Rata Allocation Methodology in Environmental Coverage Case
By Troutman Pepper Locke on
In a matter of first impression, the New Hampshire Supreme Court recently held that a pro rata allocation method, as opposed to a joint and several approach, should be applied in an environmental coverage action for purposes of allocating long-term pollution damage among multiple triggered insurance policies.
California Federal Court: Second Insurer With Interest In Outcome Of Coverage Litigation Has Right To Intervene
By Troutman Pepper Locke on
The U.S. District Court for the Northern District of California recently granted an insurer’s motion to intervene in an indemnity dispute between another insurer and an asbestos product supplier. …
Read More California Federal Court: Second Insurer With Interest In Outcome Of Coverage Litigation Has Right To Intervene
New York Trial Court Dismisses Coverage Claim As Time-Barred By Policy
By Troutman Pepper Locke on
A New York state trial court recently held that an insured’s breach of contract action was time-barred because he failed to commence suit within two years of the dates of loss, as required by the policy.
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Read More New York Trial Court Dismisses Coverage Claim As Time-Barred By Policy
Illinois Medical Malpractice Cap Ruled Unconstitutional
By Troutman Pepper Locke on
An Illinois judge recently struck down the two-year-old state law that capped medical malpractice awards, ruling that the law violates the Illinois constitution’s “separation of powers” clause by depriving judges and juries of their right to determine fair compensation. …
Read More Illinois Medical Malpractice Cap Ruled Unconstitutional
Texas Supreme Court: Pro Rata “Other Insurance” Clauses Preclude Equal Contribution Among Co-Primary Insurers
By Troutman Pepper Locke on
Posted in Coverage & Claims, United States
On a question certified by the Fifth Circuit Court of Appeals, the Texas Supreme Court recently ruled that “[t]here is no direct duty of reimbursement between co-primary insurers.” …
Read More Texas Supreme Court: Pro Rata “Other Insurance” Clauses Preclude Equal Contribution Among Co-Primary Insurers
California Court of Appeals: Insurer Did Not Waive Right To Rescind Policy By Providing A Defense And Partial Settlement
By Troutman Pepper Locke on
Posted in Coverage & Claims, United States
The California Court of Appeals recently upheld a trial court judgment rendering a policy void ab initio and awarding the insurer reimbursement of amounts it incurred in defending and settling the underlying litigation. …
Read More California Court of Appeals: Insurer Did Not Waive Right To Rescind Policy By Providing A Defense And Partial Settlement
New Hampshire Supreme Court: Negligent Supervision and Negligent Entrustment Claims Were Excluded From Coverage By Sexual Molestation Exclusion
By Troutman Pepper Locke on
Posted in Coverage & Claims, United States
New Hampshire’s highest court recently held that an insurance policy’s sexual molestation exclusion applied to claims for negligent supervision brought against the alleged perpetrator’s parents. …
Read More New Hampshire Supreme Court: Negligent Supervision and Negligent Entrustment Claims Were Excluded From Coverage By Sexual Molestation Exclusion
Netscape’s Use of SmartDownload Software an Excluded “Online Activity”
By Troutman Pepper Locke on
Posted in Coverage & Claims, United States
A federal court in California recently granted an insurer’s motion for summary judgment on the grounds that Netscape’s use of SmartDownload software, a software program designed to facilitate user downloads, was in fact an excluded “online activity” under the terms of the insurer’s general liability policy.
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Read More Netscape’s Use of SmartDownload Software an Excluded “Online Activity”
Dickie Scruggs Indicted for Attempting to Bribe a Judge
By Troutman Pepper Locke on
On InsureReinsure.com, we strive to provide information about issues involving the insurance and reinsurance world and we rarely deal with criminal proceedings but there are instances, however, when alleged criminal activities become relevant to our industry.
We have blogged regularly about Richard (“Dickie”) Scruggs and the Scruggs Katrina Group, a group of attorneys representing thousands of policyholders in Katrina-related coverage disputes with their insurance companies.
Read More Dickie Scruggs Indicted for Attempting to Bribe a Judge