Applying Kentucky law, a federal district court has held that a subpoena issued to an insured company was not a “Claim” under a D&O policy’s Side B coverage because the subpoena failed to identify an “Individual Insured.”  Springstone, Inc. v. Hiscox Ins. Co., 2020 WL 4506097 (W.D. Ky. Aug. 5, 2020).  The court also held that no coverage was available to the entity because coverage was barred by an exclusion for any Claim “seeking fines or penalties or non-monetary relief against the Company.”

Continue Reading Government Subpoena Issued to Insured Company Not a “Claim” Against Individual Insured

The United States District Court for the Eastern District of Kentucky, applying Kentucky law, has held that an insurer had no duty to defend or indemnify its insured given the applicability of the policy’s “contractual liability” exclusion to the claims at issue.  See Global Holdings, LLC v. Navigators Mgmt. Co., 2020 WL 3065914 (E.D. Ky. June 9, 2020).

Continue Reading Contract Exclusion Bars Coverage for Class Action

The U.S. Court of Appeals for the Sixth Circuit, applying Kentucky law, has held that incarceration is a continuous injury sufficient to trigger a duty to defend in a wrongful conviction lawsuit under law enforcement liability policies in effect during the claimant’s incarceration.  St. Paul Guardian Ins. Co. v. City of Newport, 2020 WL 1514837 (6th Cir. Mar. 30, 2020).

Continue Reading Incarceration Constitutes Continuous Injury Triggering Duty to Defend

The United States District Court for the Eastern District of Kentucky, applying Kentucky law, has held that an insurer’s duty to defend under a medical professional liability policy ended when the insurer tendered policy limits to the insured, despite the ongoing lawsuit against the insured.  Mt. Hawley Ins. Co. v. MESA Med. Grp., PLLC, 2017 WL 3082662 (E.D. Ky. July 19, 2017).

Continue Reading Insurer’s Duty to Defend Ends at Tender of Policy Limits

A federal appellate court, applying Kentucky law, has affirmed a lower court’s ruling that an excess carrier does not need to demonstrate prejudice in order to deny coverage for late notice under a claims-made policy. Ashland Hosp. Corp. v. RLI Ins. Co., 2016 WL 787774 (6th Cir. Feb. 29, 2016).
Continue Reading Sixth Circuit Affirms That Notice-Prejudice Rule Does Not Apply to Claims-Made Policies