The Northern District of Illinois in Astellas US Holding, Inc. v. Starr Indemnity and Liability Co., 2018 WL 2431969, at *1 (N.D. Ill. May 30, 2018) held that a U.S. Department of Justice subpoena demanding documents relating to a government investigation constitutes a “Claim.”

Continue Reading Another Court Holds That Government Subpoenas Seeking Documents Constitute “Claims” Under Standard D&O Policy Language

Does the term “wrongful act” always require that the conduct at issue be “wrongful”? In at least one D&O insurance policy, the answer may not be as clear as it seems. A federal district court in Texas recently denied an insurer’s motion to dismiss a company’s coverage claim for nearly $5 million in costs the company incurred defending a statutory appraisal lawsuit filed by disgruntled shareholders, citing the D&O policy’s “terribly” written definition of “wrongful act,” which may have been written so broadly that it provides coverage for “acts” that are not actually “wrongful.”

Continue Reading Imprecise Policy Wording Prevents Dismissal of D&O Coverage Suit For Statutory Appraisal Claims

In football as in life, the best defense is often a good offense. But, that adage does not always play well in litigation. In Riddell, Inc. v. Superior Court, No. B275482, 2017 WL 3614305 (Cal. Ct. App. Aug. 23, 2017), the California Court of Appeal blew the whistle on such a tactic, holding that an insurer could not use discovery tools in a coverage dispute with its policyholder in order to prejudice the policyholder’s defense in an underlying lawsuit.

Continue Reading Helmet Maker’s Insurers Sidelined After Using Coverage Dispute For End-Around On Liability Discovery

A federal judge has ordered an insurer to show cause why he should refrain from dismissing the insurer’s case against an NCAA football conference over the availability of insurance for concussion-related lawsuits. Back in May, Great American Assurance Company filed a complaint against Conference USA, seeking a declaration that it need not defend or indemnify the conference against a lawsuit brought by a former football player. In the underlying lawsuit, the former player alleged that he suffered neurodegenerative disorders and diseases, including chronic traumatic encephalopathy (“CTE”), Alzheimer’s disease, memory loss, mood swings, headaches, and anxiety stemming from repeated concussive brain impacts he sustained while playing for the University of Louisville. In the coverage action, Great American argues that a Limited Event Coverage endorsement added to Conference USA’s policies did not include football as a covered event and therefore the policies do not provide coverage for “bodily injury” arising from football.

Continue Reading Judge Threatens To Bench Insurer’s Lawsuit Over Insurance Coverage For Concussions

The United Kingdom’s recent vote to sever ties with the European Union will have global economic consequences. The ramifications of an EU economic retraction resulting from financial uncertainty will undoubtedly reach Latin America.  The cross-border insurance industry will likely not be spared.  Multinationals with local operations must be proactive to get ahead of the storm – now is the time to review the unique aspects of their business and their target markets to pinpoint their ideal risk management structure, and to ensure that their insurance regimes sufficiently anticipate the shifting risks in this dynamic bloc.

Continue Reading Protecting Against Brexit Risks Facing Latin America Through Cross-Border Insurance

Globalization has inspired the development of cross-border business activities, as companies across several industries seek new markets for their goods and services.  The dynamic rewards have been accompanied by a corresponding increase in novel risks, and those who rely on traditional risk assessment mechanisms have often been left unnecessarily exposed.

Continue Reading Top Takeaways: Hunton & Williams LLP’s Focus on Cross-Border Insurance Coverage Issues for Policyholders