Insurance Law Community Insurance Law

Eighth Circuit Affirms Denial of Insurance Company's Motion to Compel Arbitration

ako@placeholder.com (Anderson Kill & Olick, P.C.) — Wed, 01 May 2013 19:39:00 -0400

By Peter A. Halprin, Attorney, Anderson Kill & Olick, P.C.

On April 19, the Eighth Circuit affirmed the United States District Court for the Eastern District of Missouri's September 4, 2012 decision in Union Electric Company v. Aegis Energy Syndicate 1225, holding that a policyholder could avoid arbitration based on an Endorsement that conflicted with a policy's arbitration clause. See Union Elec. Co. v. Aegis Energy Syndicate 1225, No. 12-3546, 2013 U.S. App. LEXIS 7840 [

Welcome to Insurance Review April 2013, DLA Piper's publication dedicated to the insurance industry.

In this edition we report on developments across the insurance industry, including the long-awaited amendments to the Insurance Contracts Act 1984 (Cth), the proposal to introduce unfair contract terms laws for insurance and major coverage cases. We report on the latest cases in most classes of business, including D&O, professional indemnity, workers compensation, reinsurance, civil liability, transport, medical indemnity and more. Of particular note is the section devoted to class actions and the groundbreaking decisions concerning complex investment products

Jenner & Block: Insurer Unable To Step Into CERCLA Shoes Of Insured

ssiros@jenner.com (Steven M. Siros) — Thu, 11 Apr 2013 10:48:00 -0400

A recent Ninth Circuit decision limited the ability of an insurer to seek CERCLA contribution and/or cost recovery from potentially responsible parties ("PRPs"). In Chubb Custom Insurance Company v. Space Systems/Loral et al., [enhanced version available to lexis.com subscribers], Chubb issued a pollution premises liability ("PPL") policy for a site in Palo Alto, California. Chubb's insured sought

DLA Piper: Australian High Court Finds a Judgment Is Not Always a Judgment

DLAPiper@placeholder.com (DLA Piper) — Wed, 09 Jan 2013 13:32:00 -0400

By Melissa Joyce and Mark Williams, Attorneys, DLA Piper

A person who has suffered damages as a result of a tort and brings separate actions against tortfeasors liable in

New Matthew Bender Insurance Law Publication in One-Volume Looseleaf, Online and In e-Book Format

Wed, 02 Jan 2013 09:48:00 -0400

Insurance defense counsel have unique and complicated professional responsibilities arising from their dual relationships with the insured who is being defended and the insurer who is providing the defense and must pay the judgment or settlement (assuming it is covered). William T. Barker & Charles Silver, Professional Responsibilities of Insurance Defense Counsel provides the only comprehensive treatment of this subject. States and scholars often have differing views on many issues, and this publication takes account of all significant lines of authority and all major scholarship. It provides detailed guidance for defense counsel retained by an insurance company as well as for the company itself, covering every step of the representation. From the formation of the attorney-client relationship(s), through the necessary initial communications with the insured, and into the

SNR Denton LLP on Great American Excess & Surplus Insurance Co. v. Quintairos, Prieto, Wood & Boyer, P.A.: Excess Insurer Can Sue Appointed Defense Counsel for Malpractice

wbarker@sonnenschein.com (William T. Barker) — Mon, 05 Nov 2012 15:44:00 -0400

By William T. Barker, Partner, SNR Denton LLP

In Great American Excess & Surplus Insurance Co. v. Quintairos, Prieto, Wood & Boyer, P.A., the Mississippi Supreme Court adopted the opinion of a divided Mississippi Court of Appeals holding (on an issue that has divided other jurisdictions) that an excess insurer could sue defense counsel appointed by the primary insurer for malpractice based on equitable subrogation. It reversed an unprecedented holding that provision of status reports and case evaluations

Federal-Mogul Global Inc.: Third Circuit Holds Bankruptcy Code Preempts Anti-Assignment Provisions, Allowing Transfer of Policy Rights to Asbestos Trust

Tue, 30 Oct 2012 01:38:00 -0400

By Jennifer Black Strutt, Associate, McCarter & English, LLP

Federal-Mogul Global, Inc., one of the world's largest manufacturers of automobile parts, and its affiliates filed for Chapter 11 bankruptcy, seeking to resolve asbestos-related liability through the creation of a personal injury trust under On October 30, the ABA Forum Committee on Entertainment and Sports Industries will present an informative webinar on Insurance and Risk Allocation in the Entertainment and Sports Industries: Hot Topics and Overlooked Issues.

From film and television production to live sporting events and theatrical and musical performances, insurance coverage is (or should be) a vital part of the deal. Insurance is expected to provide protection against key risks inherent in these productions, allowing the various participants to perform with a measure of security. Errors in dealing with the various aspects of the insurance process, from allocating the responsibility to procure insurance

Duane Morris: Key Ruling for Insurance Companies in Equitable Subrogation Action in U.S. District Court in Florida

Duane.Morris@placeholder.com (Duane Morris LLP) — Wed, 22 Aug 2012 16:53:00 -0400

In QBE Insurance Corporation v. Jorda Enterprises (Free Download), Judge Alan Gold of the U

SNR Denton, US, LLP on Downhole Navigator, LLC v. Nautilus Insurance Co.: Fifth Circuit Concludes That Texas No Longer Allows a Policyholder to Demand Independent Counsel Merely Because the Insurer Offers a Defense under Reservation of Rights

wbarker@sonnenschein.com (William T. Barker) — Tue, 10 Jul 2012 10:43:00 -0400

By William T. Barker, Partner, SNR Denton

Older Texas cases had indicated that, whenever a liability insurer offered a defense under reservation of rights, the insured was entitled to demand defense by independent counsel, at the insurer's expense. In Downhole Navigator, LLC v. Nautilus Insurance Co., the Fifth Circuit concluded that Texas has abandoned that rule. This commentary argues that this was correct and follows the modern and better rule.

By Laura Thomson, Pillsbury Winthrop Shaw Pittman

English Court of Appeal dismisses appeal, upholding injunction of coverage dispute in Brazilian

Support Us on the Social Madness Corporate Challenge!

Sat, 02 Jun 2012 08:22:00 -0400

The Social Madness corporate challenge has kicked off, and LexisNexis is one of 60 Dayton-area companies selected to compete in this social media competition hosted by the Dayton Business Journal and its parent, American City Business Journals. The three national winners of the challenge will be able to designate a favorite charity to receive a $10,000 donation.

The Challenge was established to celebrate, support and nurture social-media excellence. ACBJ will use an algorithm to track increased social

New Appleman on Insurance Law Library Edition Cited by Missouri Supreme Court

Fri, 25 May 2012 19:19:00 -0400

The Missouri Supreme Court cited the chapter written by Douglas Richmond on agent and broker liability in the New Appleman on Insurance Law Library Edition several times in Emerson Electric Co. v. Marsh & McLennan Cos., 362 S.W.3d 7 (Mo. 2012), a closely watched case in the brokerage community.

Free Zalma’s Insurance Fraud Letter May 1, 2012

zalma@zalma.com (Barry Zalma) — Tue, 01 May 2012 12:26:00 -0400

   By Barry Zalma, Attorney and Consultant

In this, the ninth issue of the 16th year of publication Zalma's Insurance Fraud Letter (ZIFL), ZIFL reports on:

1.   Barry Zalma reports on an interesting appellate decision that convicted a person for failing to advise his insurer that he intentionally caused a fire at his property. The arson and the failure to disclose the arson to the insurance carrier occurred at different times. The arson occurred at the time of the fire. The failure to disclose the arson to the insurance carrier occurred in the following days and months as the insurance adjuster investigated the insurance claim. Because the two crimes constituted a course of conduct divisible in there is no reason to preclude

SNR Denton US LLP on Illinois School District Agency v. The St. Charles Community Unit School District 303: Illinois Appellate Court Rejects “Selective Tender” Rule for Chronologically Consecutive Insurance Policies

dfeinberg@sonnenschein.com (Daniel E. Feinberg) — Mon, 16 Apr 2012 11:07:00 -0400

   By Daniel E. Feinberg, Counsel, SNR Denton

In Illinois School District Agency v. The St. Charles Community Unit School District 303, 2012 Ill. App. LEXIS 242 (Ill. Ct. App. Mar. 30, 2012), the Illinois Appellate Court held that Illinois' "selective tender" rule does not apply in cases involving chronologically consecutive insurance policies. Accordingly,

A Primer for Managing Risks

vernepedro101@hotmail.com (Verne Pedro) — Mon, 06 Feb 2012 09:29:00 -0400

(Lexis.com subscribers may access the cases below by clicking on the links)



   By Verne A. Pedro, Special Counsel, Goldberg Segalla LLP

The Supreme Court's 2011 Class Action Decisions: Their Impact on Insurance Class Actions

wackerman@rc.com (Wystan Ackerman) — Thu, 19 Jan 2012 20:01:00 -0400

   By Wystan Ackerman, Partner, Robinson & Cole LLP

This commentary by Wystan Ackerman analyzes the three decisions issued by the U.S. Supreme Court on class actions in 2011, with a focus on their impact on the insurance industry: Wal-Mart Stores, Inc. v. Dukes, AT&T Mobility, LLC v. Concepcion, and Smith v. Bayer Corp. The commentary predicts how these decisions will affect new class action

Rebecca Shafer’s Workers Compensation Management Program: How To Cut Your Costs In A Soup to Nuts Approach

karenyotis@gmail.com (Karen C. Yotis) — Fri, 06 Jan 2012 10:07:00 -0400

By Karen C. Yotis, Esq.

When a workers’ compensation maven of Rebecca Shafer’s caliber shares her expertise about implementing cost containment best practices, industry professionals can’t afford to do anything but listen. Likewise, now that Shafer has released the 2012 edition of her guidebook Workers Compensation Management Program: Reduce Costs 20% to 50

New Appleman on Insurance Law Library Edition - § 16.04: The Tripartite Relationship Among the Insured, the Insurer and Insurer-Directed Defense Counsel

Thu, 22 Dec 2011 14:59:00 -0400

Section 16.04 of New Appleman on Insurance Law Library Edition deals with the relationship that exists between insureds, their insurers, and the insurer-directed legal counsel that insurers provide to their insureds. You can download a free copy of this section by clicking on the link below.

Section 16.04 begins as follow:

Individuals and businesses purchase insurance to shift financial risk to their insurers. To an insured, the cost of lawyers necessary to defend covered claims

SNR Denton on Lennar Corp. v. Transamerica Insurance Co.: Does a Right to Independent Counsel Entitle the Policyholder to Two Lawyers?

wbarker@sonnenschein.com (William T. Barker) — Wed, 21 Dec 2011 15:20:00 -0400

   By William T. Barker, Partner, SNR Denton

Lennar Corp. v. Transamerica Insurance Co. addressed the novel question whether an policyholder entitled to independent counsel could both accept representation by the counsel selected by the insurer and insist on payment of its own selected counsel as co-counsel

Insured vs. Insured on Same Policy Is 1st-Party Claimant

wbarker@sonnenschein.com (William T. Barker) — Wed, 14 Dec 2011 18:02:00 -0400

By William T. Barker, Partner, SNR Denton

In Loudin v. National Liability & Fire Insurance Co., 716 S.E.2d 696 (W. Va. 2011), the West Virginia Supreme Court held that policyholder making a liability claim against another insured on the policy is a first-party claimant, entitled to sue for allegedly inadequate or delayed payment of damages suffered. This commentary examines and criticizes that holding in light of the uniformly contrary authority elsewhere.

Walter Marion Williams pleaded guilty to one count of mail fraud, in violation of 18 U.S.C. § 1341, and was sentenced to a term of 108 months' imprisonment to be followed by 3 years of supervised release. Williams appealed from his sentence, which he argued was an unreasonable upward variance from his guidelines range of 51 to 63 months' imprisonment. The Eleventh Circuit dealt with the appeal in United States of America v. Walter Marion Williams, No. 10-13577 (11th Cir. 11

The Winners: The Insurance Law Community's Top Blogs for 2011

Fri, 11 Nov 2011 08:34:00 -0400

Insurance Law Community's Top Insurance Blogs 2011 Honorees

After some very careful review and a great deal of deliberation, the LexisNexis Insurance Law Community has selected its Top Insurance Blogs for 2011.

   By John G. Nevius, Esq., P.E.

The September 16 decision in Virginia allowing a subsidiary of Zurich to avoid its duty to defend a climate-change related claim is ironic. On the one hand, anthropogenic links to climate change are the subject