5th Circ. Finds No Asbestos Coverage Due To Untimely Notice And Rejects Need For Proof Of Prejudice The Fifth Circuit, applying Louisiana law, affirmed a lower court’s ruling that Anco Insulations, Incorporated (“Anco”) had failed to timely tender claims to National Union Fire Company of Pittsburgh, Pennsylvania (“National Union”) and, therefore, National Union was not obligated to reimburse Anco for... Read More

Unable To Prorate, Insurer On The Hook For 100% Of Defense A Louisiana appellate court, applying Louisiana law, held that Continental Casualty Co. (“Continental”) cannot prorate its duty to defend based on time on the risk and therefore must provide a full defense going forward from the date of the decision to American Sugar Refining Inc. (“American Sugar”). The underlying claims... Read More

Wisconsin And Colorado Supreme Courts Separately Hold Notice-Prejudice Rules Not Applicable to Claims-Made Coverage The Wisconsin Supreme Court, applying Wisconsin law, held that the state’s notice-prejudice statutes do not supersede the reporting requirement for claims-made policies. In making its ruling, the court reasoned that “[r]equiring an insurance company to cover a claim reported after the end of a claims-made-and-reported policy... Read More

The Texas Supreme Court, applying Texas law, held that BP does not have any coverage as an additional insured for subsurface pollution stemming from the April 2010 Deepwater Horizon oil spill under Transocean Ltd.’s (“Transocean”) insurance policies. In making this finding, the court referred to the drilling contract between BP and Transocean. The court concluded that the only reasonable... Read More

Court Denies Stacking But Finds Insurer Liable For Mine Suit Including Punitive Damages A New Mexico federal court, applying New Mexico law, ruled that Mid-Continent Casualty Co. (“Mid-Continent”) must cover a $1 million award including both compensatory and punitive damages against a mine operator in a suit which alleged the company’s extraction of salt from an underground cavern damaged neighboring... Read More

Illinois Court Finds Retail In-Store Display Constitutes Ad, Triggering Coverage An Illinois appellate court, applying Illinois law, found that an in-store retail display constituted “advertisements” that gave rise to the claims in the underlying suit and, therefore, triggered the insurer’s duty to defend an intellectual property infringement suit under a business liability policy. The underlying lawsuit alleged numerous claims of... Read More

Insurer Cannot Avoid Liability Because Suit Served After Policy Period A Louisiana federal court, applying New York law, held that an insured does not need actual knowledge of a suit filed during the policy period in order for a claim to made under a claims-made policy and that a claims-made policy cannot avoid coverage merely because timely notice of a... Read More

Illinois Appellate Court 1) Upholds Broad Duty To Defend When No Dates Of Exposure Alleged And “Group Pleading” Used, And 2) Applies “All Sums” Allocation To Defense Expenses. An Illinois appellate court, applying Illinois law, upheld a trial court ruling that insurers had a duty to defend Illinois Tool Works Inc. and ITW Finishing LCC (collectively “Illinois Tool”) for thousands... Read More

Interprets Completed Operations Clause Narrowly And Finds Exclusion Applicable Under Michigan Rather Than Indiana Law After Choice Of Law Analysis The Seventh Circuit, applying Michigan law, found no exception to a pollution exclusion and refused to hold insurer liable for millions in clean up and litigation costs for pollution from an Indiana manufacturing plant. The insured, Visteon Corp. (“Visteon”), a... Read More

California Appellate Court Reinstates Case Finding 1) Settlement With Other Insurers Doesn’t Preclude Recovery, And 2) Denial Of Insurer’s Summary Judgment Motion Doesn’t Necessarily Establish Defense Duty A California appeals court, applying California law, reversed and remanded a lower court ruling which had entered judgment in favor of the insurer in a coverage suit between McMillin Companies, LLC (“McMillin”), a... Read More