Archives: Construction Coverage

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The duty to defend requires an early judgment

By Benjamin Fliegel on Posted in Business interruption, Commercial General Liability, Construction Coverage, Corporate and Transactional Insurance Coverage, Cyberliability, Employment Practices Liability, Financial Insurance Coverage, Insurance Coverage, Insurance General
If an insurance company owes a duty to defend, the dispute should be decided promptly, on the pleadings. Any delay undermines the duty to defend. The scope of the duty to defend should be adjudicated on the pleadings as quickly as possible to give policyholders the true value of their policies and the benefit of … Continue Reading

Pollution exclusion should not preclude coverage for virus-related claims

By Mike Sampson on Posted in Commercial General Liability, Construction Coverage, Corporate and Transactional Insurance Coverage, Cyberliability, D&O, E&O, Professional Liability, Employment Practices Liability, Financial Insurance Coverage, Insurance Coverage, Insurance General, Insurance Insolvency & Regulatory, Insurance News of Note, London/Bermuda Arbitrations, Property Damage & Business Interruption, Uncategorized
Faced with mounting claims for insurance coverage as a result of the novel coronavirus (COVID-19) outbreak, commercial insurers are likely to search for any policy provision that they think will enable them to avoid paying virus-related claims.  One provision that insurers ultimately may invoke in an attempt to deny such claims is the so-called “pollution … Continue Reading

“Myopic” ruling limits policyholders’ ability to recover for common law bad faith in West Virginia

By Mike Sampson and Jorge Rojas on Posted in Commercial General Liability, Construction Coverage, Insurance Coverage, Insurance General, Insurance News of Note
The Supreme Court of Appeals of West Virginia has made it harder for policyholders to prevail on claims of common law bad faith against insurers in that state. In State of West Virginia ex rel. State Auto Property Insurance Companies v. Stucky, No. 17-0257, 2017 WL 4582607 (W. Va. Oct. 10, 2017), West Virginia’s highest … Continue Reading

Eighth Circuit pollution-exclusion opinion a cautionary tale for natural gas industry

By Mike Sampson on Posted in Commercial General Liability, Construction Coverage, Insurance Coverage, Insurance General, Insurance News of Note, Property Damage & Business Interruption
The interpretation and application of a pollution exclusion in a commercial general liability (“CGL”) policy is often a fact-specific and jurisdiction-specific exercise. That said, the U.S. Court of Appeals for the Eighth Circuit’s recent decision, applying North Dakota law and interpreting such an exclusion in a CGL policy, should command the attention of the entire … Continue Reading

Harmonizing Risk Transfer: Avoiding Pitfalls With Additional Insured Provisions

By Kevin Dreher, Ann Kramer and Anthony B. Crawford on Posted in Commercial General Liability, Construction Coverage, Insurance Coverage
Insurance requirements in commercial agreements and corresponding additional insured provisions in insurance policies are important tools to manage and transfer risks. However, far too often those efforts are thwarted by inattention and, in some cases, sloppiness. As exemplified by the disastrous outcome for the contracting parties in Cincinnati Insurance Company v. Vita Food Products, Inc., No. 13 C 05181 (E.D. Ill. January 30, 2015), there are many pitfalls to successfully transfer risk and secure additional insured coverage.… Continue Reading
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