Answering certified questions from the federal district court, the Hawaii Supreme Court reaffirmed its prior holding that reckless conduct is an "occurrence' or accident. The court further held that green house gas (GHG) emissions were pollutants under liability policies. Aloha Petroleum, Ltd. v. National Union Fire Ins. Co. of Pittsburg, PA., et al.,
Duty to Indemnify
Faulty Installation of Heating and Cooling System Does Not Amount to an Occurrence
By Tred R. Eyerly on
The trial court determined the insurer had no duty to defend or indemnify for the insured's faulty workmanship in installing a heating and cooling system. Knoblich v. Erie Ins. Exchange, 2024 Pa. Super. Unpub. LEXIS 1899 (Pa. Super Ct. Aug. 5, 2024).
The Knobiches entered a contract with M&M HVAC…
Additional Insured Not Entitled to Coverage for Named Insured’s Defective Work
By Tred R. Eyerly on
The Court of Appeals for the Seventh Circuit determined there was no duty to defend or to indemnify the additional insured for the named insured's defective work. St. Paul Guardian Ins. Co., et al. v. Walsh Construction Co., 99 F. 4th 1035 (7th Cir. 2024).
The City of Chicago contracted with…
Incorrect Information Provided on Insurance Application Defeats Claim for Coverage
By Tred R. Eyerly on
The Eleventh Circuit affirmed the district court's finding of no duty to defend or indemnify because of an answer on the insured's application for insurance. Snell v. United Specialty Ins. Co., 2024 U.S. App. 12733 (11th Cir. May 28, 2024).
Snell was hired by a family, the Westons, to turn an…
No Coverage for Additional Insured for Construction Defect Claim
By Tred R. Eyerly on
The Seventh Circuit affirmed the district court's grant of summary judgment to the insurers, finding there was no coverage for the additional insured on a construction defect claim. St. Paul Guardian Ins. Co. v. Walsh Construction. Co., 2024 U.S. App. LEXIS 10285 (7th Cir. April 29, 2024).
The City of…
Ninth Circuit Affirms No Coverage in Dispute Over Salvage of Sunken Ship
By Tred R. Eyerly on
The Ninth Circuit affirmed the district court's decision that the insured was not covered for a dispute over the salvage of a sunken ship. Great American Ins. Co. v. May, 2024 US App. LEXIS 10137 (9th Cir. April 26, 2024).
MK Salvage Ventures LLC (MK) attempted to recover lost treasure…
Excess Policy Not Triggered Despite Dissolution of Primary Carrier
By Tred R. Eyerly on
The excess carrier did to have to contribute to the defense and indemnity of the insureds because the dissolution of one of the primary carriers meant full exhaustion had not been accomplished. Continental Cas. Co., et al. v. Argonaut Ins. Co., et al., 331 Ore. App. 26 (Or. Ct. App. 2024).
…
Finding an “Occurrence,” Appellate Court Rules Insurer Must Defend
By Tred R. Eyerly on
Reversing the trial court, the Wisconsin Court of Appeals found the insurer must defend a cross-claim against the insured owner of a building after an explosion occurred. LBC, LLC v Spectrum Brands, Inc., 2023 Wis. App. LEXIS 1251 (Wis. Ct. App, Nov. 30, 2023).
LBC leased commercial property to Spectrum.
Insurer’s Declaratory Relief Action on Duty to Indemnify Dismissed
By Tred R. Eyerly on
The court granted the insured's motion to dismiss the insurer's action for a declaratory judgment on the issue of indemnity when the underlying action was still ongoing. Utica Mut. Ins. Co. v. Crystal Curtain Wall Sys. Corp., NYLJ LEXIS 3255 (N.Y. Sup. Ct. Dec. 1, 2023).
Crystal was a subcontractor…
West Virginia Adopts Continuous-trigger Theory for Occurrence Based Policies
By Tred R. Eyerly on
Answering a certified question, the West Virginia Supreme Court of Appeals adopted the continuous-trigger theory when interpreting occurrence based policies. Westfield Ins. Co. v. Sistersville Tank Works, Inc., 2023 W. Va. LEXIS 455 (W. Va. Nov. 8, 2023).
Sistersville Tank Work, Inc. ("STW") manufactured, installed, and repaired various types of tanks…