Archives: Insurance Recovery

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Two Court Rulings Show Coverage Difficulties for “Fake President” Fraud

A few weeks back, the Insurance Recovery report posted a blog about the difficulty obtaining insurance coverage for “fake president” fraud, which is also known as business e-mail compromise, or social engineering fraud.   Two courts have recently reached opposite holdings on this exact topic, which highlight the difficulty policyholders face when they have been victimized by … Continue Reading

California Supreme Court Endorses the Insurance Commissioner’s Authority to Regulate Wayward Insurers

On Monday, the California Supreme Court revived a 2011 insurance regulation designed to protect homeowners from underinsurance because of the insurance company’s use of potentially misleading estimates for home replacement costs.  This was a big win for consumers, and will be particularly important for those who lose their homes in natural disasters (in particular fire) … Continue Reading

Bad Faith Actions for Excess Judgments….is There Trouble Brewing for Recalcitrant Primary Insurers

Can an excess carrier go ahead and fund an excess primary limits settlement and then assert a claim for bad faith against the primary insurer who previously refused to accept and fund a prior in-limits policy demand? On August 5, a Court of Appeal in Ace American Ins. Co. v. Fireman’s Fund Ins. Co., Case … Continue Reading

When does the statute of limitations set in on an insurer’s wrongful refusal to settle?

Normally, the statute of limitations sets in when “the cause of action shall have accrued,” to quote California Code of Civil Procedure section 312.  In an effort to simplify that date for lay readers, the Sacramento County Public Law Library has stated in a public guide that “generally, a cause of action accrues on the … Continue Reading

Fourth Circuit finds Coverage for Information Breach under CGL Policy

For policyholders and attorneys that have feared the lack of coverage for data breaches under traditional policies (CGL, property), a recent ruling suggest that it is not time to write off those policies as a potential source of coverage. Yesterday, the Fourth Circuit issued an opinion upholding a trial court ruling that Travelers had a … Continue Reading

Liability Insurer Tries to Dodge Coverage Hiding Behind The Employee Exclusion

Not long ago an owner of a four-unit apartment building, fully insured with a Landlord/Tenants package policy and Umbrella coverage, tendered an injury lawsuit to his insurance company. The insured had hired a roofer to replace the roof. The roofer hired a worker to help and the worker fell from the roof just hours into … Continue Reading
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