The California Court of Appeal affirmed the trial court's decision that the defending insurer was not entitled to reimbursement of defense costs from another insurer based upon a subcontract and additional insured endorsement. Zurich Am. Ins. Co. v. Old Republic Gen. Ins. Corp., 2024 Cal. App. Unpub. LEXIS 1261 (Cal. Ct. App.
Insurer Wrongfully Denies Coverage When Household Member Fails to Submit to EUO
The court determined that coverage for a loss by fire could not be denied when the insured's son failed to appear for a examination under oath (EUO). Adekola v. Allstate Vehicle & Prop. Ins. Co., 2024 U.S. Dist. LEXIS 27125 (E.D. Pa. Feb. 16, 2024).
Plaintiff had a homeowners policy
Parents’ Failure to Pay Auto Insurance Premium Does Not Cancel Policy for Adult Child Who Never Received Notice
The California Court of Appeal held that because the insurer failed to send a cancellation notice to the adult child named in the auto policy as an insured, the policy remained in effect when the child was involved in an accident. Molinar v. 21st Century Ins. Co., 2024 Cal. App LEXIS 124
Fifth Circuit Reverses Summary Judgment Awarded to Insurer on Cyber Risk Claim
The Fifth Circuit reversed the district court's grant of summary judgment in favor of the insurer on a cyber risk claim. Southwest Airlines Co. v. Liberty Ins. Underwriters, Inc., 2024 U.S. App. LEXIS 996 (5th Cir. Jan. 16, 2024).
Southwest suffered a massive computer failure, which resulted in a three-day
Stay of Coverage Case Appropriate While Court Determines Arbitrability of Dispute
The Fifth Circuit vacated a discovery order issued by the district court and remanded the case for issuance of a stay while the arbitrability of the coverage dispute was reviewed. Cameron Parish Recreation #6 v. Indian Harbor Ins. Co., et al., 2024 U.S. App. LEXIS 3804 (5th Cir. Feb. 19, 2024).
Fifth Circuit Reverses and Remands Denial of Cyber Claim
The Fifth Circuit Court of Appeals reversed the district court's finding that Southwest had no coverage for a cyber claim. Southwest Airlines Co. v. Liberty Ins, Underwriters, Inc., 2024 U.S. App. LEXIS 996 (5th Cir. Jan. 16, 2024).
On July 20, 2016, Southwest suffered a massive computer failure, which resulted
Court Grants Insurer’s Motion for Summary Judgment After Insured Fails to Provide Evidence of Systemic Collapse
With the insurer conceding that there was evidence of potential collapse at portions of eight specific building locations, the court granted the insurer's motion for partial summary judgment in determining no additional buildings suffered from collapse. Exec. 1801 LLC v. Eagle W. Ins. Co., 2024 U.S. Dist. LEZXIS 5923 (D. Or. Jan.
Insurer May Pursue Independent Subrogation Claims After Plaintiff’s Claims Are Dismissed
The Hawaii Supreme Court determined that a subrogee insurance company that intervened had an independent right to continue pursuing its claims agains the tortfeasor that were not asserted by the subrogor employee even after the employee's claims were dismissed. Park v. Dongbu Ins. Co., Ltd., 2024 Haw. LEXIS 8 (Feb. 5, 2024).
Health Care Endorsement Allows Insured to Escape Dismissal of COVID-19 Claim
Agreeing with the district court that the insured could not demonstrate "direct physical loss" due the onset of COVID-19, the First Circuit overruled the dismissal based on a health care endorsement. Lawrence Gen. Hosp. v. Continental Casualty Co., 2024 U.S. App. LEXIS 676 (1st Cir. Jan. 10, 2024).
The health care
Appraisal Presentation at ABA Insurance Coverage Conference
Our panel presented this morning at the Insurance Coverage Litigation Committee’s annual seminar this morning. We addressed “Appraisals: What’s My Loss?”
Members of our panel were Judge Keith Hiraoka from the Hawaii Intermediate Court of Appeals, Rina Carmel from Anderson McPharlin & Conners, LLP; John Vishneski from Reed Smith; Karin Aldama from Perkins Coie
