Executive Summary Blog

Executive Summary Blog

Legal developments affecting professional liability insurers

Category Archives: Notice of Potential Claim (Timeliness)

Subscribe to Notice of Potential Claim (Timeliness) RSS Feed

Unambiguous Claims-Made-and-Reported Professional Liability Policy Bars Coverage for Late Noticed Claim

Posted in Notice of Potential Claim (Timeliness)
Applying Arizona and New York law, an Arizona trial court has held that a claims-made-and-reported policy unambiguously does not apply where the insured failed to notify the insurer of a claim before the policy’s reporting deadline.  Southwest Energy Systems LLC v. Underwriters at Lloyd’s, London, Case No. 2017-015010 (Ariz. Super. Ct., Maricopa Cnty. Mar. 15,… Continue Reading

Notice by One Insured Does Not Satisfy Notice Requirement for Different Insured

Posted in Notice of Claim, Notice of Potential Claim (Timeliness)
The Ohio Court of Appeals, applying Ohio law, has held that a medical malpractice insurer correctly denied coverage where the insured did not provide notice of the claim until after the policy expired even though the insurer had actual knowledge of the claim from another insured.  Wright State Physicians, Inc. v. The Doctors Company, 2016… Continue Reading

Bank’s Failure to Submit Proof of Loss Precludes FDIC’s Claim as Receiver Under Crime Bond

Posted in Notice of Potential Claim (Timeliness)
The Court of Appeals for the Tenth Circuit, applying Colorado law, has held that an insurer’s denial of coverage to the Federal Deposit Insurance Corporation (FDIC), standing in the shoes of an insured as receiver, does not violate public policy where the insured’s rights under a policy have not vested.  FDIC v. Kan. Bankers Sur.… Continue Reading

Lawyer’s Material Misrepresentations in Policy Renewal Applications Justify Rescission

Posted in Notice of Potential Claim (Timeliness), Rescission
A federal district court in Illinois has granted an insurer’s motion for summary judgment rescinding three consecutive professional liability policies.  This comes after the court determined under Illinois law that the insured attorney made material misrepresentations in each of the renewal applications.  Minn. Lawyers Mut. Ins. Co. v. Schulman, 2016 WL 4988006 (N.D. Ill. Sept.… Continue Reading