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Posts Categorized: Insurance

Posted: September 26, 2018

Duty to Defend is Merely Duty to Reimburse Until Question of Coverage is Resolved

On July 20, 2018, the New Jersey Appellate Division issued a decision in Woodbury Medical Center Associates, LLP v. Selective Insurance Company, Docket No. A-5526-15T1, holding that an insurer’s duty to defend was merely a duty to reimburse until the question of whether claims are covered is resolved, explaining: At the outset, we agree with… Read more »

Posted: July 4, 2018

Insurance Law 3105 Does Not Relieve RMBS Insurer of Obligation to Plead All Elements of Common Law Fraud Claim

On June 27, 2018, the Court of Appeals issued a decision in Ambac Assurance Corp. v. Countrywide Home Loans, Inc., 2018 NY Slip Op. 04686, holding that Insurance Law 3105 does not relieve an RMBS insurer of the requirement to plead all the elements of common law fraud against its insured, explaining: The required elements… Read more »

Posted: June 18, 2018

Schlam Stone Partners Bradley Nash and Solomon Klein to Speak at the Winning Edge Executive Business Conference

Schlam Stone Partners Brad Nash (the editor of the Insurance Blog) and Solomon Klein (editor of the EDNY Blog) will be speaking on June 18, 2018 at the Winning Edge 2018 Executive Business Conference at Montclair State University. Law and The Entrepreneur: Legal Challenges and Opportunities on the Path to Success Solomon N. Klein and… Read more »

Posted: May 10, 2018

Judge Garaufis denies insurer’s motion to dismiss in lawsuit involving “ordinary traffic accident with an international twist”

Posted by Solomon N. Klein, Litigation Partner District Judge Nicholas G. Garaufis denied an insurer’s motion to dismiss a lawsuit brought directly by a plaintiff against the insurer of a vehicle that belonged to the Principality of Monaco. The Court ruled that the lawsuit was proper under the Diplomatic Relations Act of 1978, despite the… Read more »

Posted: February 23, 2018

All Risk Insurance Policy Did Not Cover Loss From Returning Property to Its Rightful Owner

On February 13, 2018, the First Department issued a decision in Dae Assoc., LLC v. AXA Art Ins. Corp., 2018 NY Slip Op. 01026, holding that an “all risk” insurance policy did not cover a loss from returning property to its rightful owner, explaining: The all-risk policy at issue, which covered insured property for “all… Read more »

Posted: January 15, 2018

New York Insurance Law Does Not Preempt Claim Against Insurer for “Deceptive Practices” under Section 349 of the General Business Law

On November 8, 2017, the Second Circuit issued a decision in Nick’s Garage, Inc. v. Progressive Casualty Ins. Co., Case No. 15-1426-cv, holding that Section 2601(a) of the New York Insurance Law, which prohibits insurers from “engag[ing] in unfair claim settlement practices,” but provides no private right of action, does not preempt a claim against… Read more »

Posted: January 7, 2018

Insurance Law Section 3420 Applies Only to Policies Covering Both Insureds and Risks in New York

On November 20, 2017, the Court of Appeals issued a decision in Carlson v. American International Group, Inc., 2017 NY Slip Op. 08163, holding that Insurance Law Section 3420 applies to policies that both cover insureds and risks located in New York, explaining: Insurance Law § 3420 allows a limited cause of action on behalf… Read more »

Posted: December 18, 2017

Court Declines to “Create Insurance Coverage Where None Exists” Based on Waiver Argument

On November 14, 2017, the First Department issued a decision in Illinois Union Insurance Co. v. Grandview Palace Condominiums Association, 2017  NY Slip Op. 07957, holding that an insured was not entitled to coverage under a property insurance policy where it failed to satisfy a policy condition — namely, that the insured “maintain automatic sprinkler systems in… Read more »