Triggering excess coverage through underlying settlements
Here’s a fairly common circumstance in large commercial liability claims. A policyholder settles with the carrier in Layer 1 for less than its limits, leaving a gap between Layer 1 and the next layer...
View ArticlePotential pitfalls in settling with insurance companies
Here’s an interesting situation that recently came up. A general contractor (Aristone) got sued in a construction defect case involving continuous water damage to a building over several policy...
View ArticleBad Faith and Settlement Negotiations
Here’s an interesting question recently confronted by the Ninth Circuit: Is it bad faith for an insurance company to refuse to initiate settlement discussions in a third-party context when liability...
View ArticleContribution claims between insurance companies
Settling complex insurance claims involving multiple carriers can be like playing three-dimensional chess. (Since I can’t even play one-dimensional chess, that means it’s really difficult.) I once had...
View ArticleSandy and the New Jersey Department of Banking and Insurance
As the weeks following Sandy have stretched into months, and the months are beginning to stretch into years, businesses and homeowners with unresolved claims have been asking me whether it’s worthwhile...
View ArticleCan an insurance company be liable for bad faith in settling a liability suit?
I like to think I’m pretty fair and impartial in these blog posts. I said that to a friend of mine in the defense bar who apparently reads my ramblings, though, and she laughed at me. I suppose I have...
View ArticleWhen Insurance Companies Won’t Settle
I’ve been representing policyholders in insurance coverage litigation for 35 years, and I’m convinced that I’ll never understand the logic of insurance company claim departments. They settle cases that...
View ArticleBeware the differences between indemnity agreements and insurance policies
I used to know a guy who worked for a major, nationally known public adjustment company. In years where there were no major hurricanes or tornado incidents, he would literally walk around looking like...
View ArticleThe law of subrogation, and how it affects policyholders
“Subrogation” seems to be a simple concept. You suffer a loss. Your insurance company pays for the loss. Your insurance company then assumes your rights against the party that damaged you. But, like...
View ArticleDemands for insurance policy limits in a serious liability case
Earlier this month, I was asked by Elizabeth Lorell, an excellent defense lawyer, to speak at a CLE conference sponsored by her law firm. (You can read Elizabeth’s bio here.) The audience consisted of...
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