The California Court of Appeal has held that in an equitable contribution action to recover settlement costs, a participating insurer must only show a potential for coverage under the non-participating insurer’s policy, and the burden then shifts to the non-participating … Read More

The California Court of Appeal has held that a liability policy’s “auto” exclusion barred coverage for an insured’s alleged negligence in leaving her foster children in a parked car where they died from heat exposure. ( Prince v. United National … Read More

The United States District Court for the Northern District of California has held that defective computer chips that were incorporated into computer disk drives did not cause “property damage” within the meaning of a commercial general liability policy. ( Atmel … Read More

The California Court of Appeal has held that an excess judgment against an insured is required before an excess insurer can maintain an equitable subrogation action against a primary insurer for unreasonable failure to settle. ( RLI Insurance Company v. … Read More

The California Court of Appeal has held that appraisers only have authority to determine the amount of loss, and do not have authority to determine the cause of loss or any other coverage issue. ( Kacha v. Allstate Insurance Company … Read More

The California Court of Appeal has held that the term “damages” under a standard CGL policy means court-ordered judgments and that affirmative defenses are not “suits” that trigger a duty to defend. (CDM Investors v. Travelers Cas. And Sur. Co. … Read More

A United States District Court held that a D&O insurer had no duty to advance 100 percent of the legal fees incurred by the insured to defend an underlying lawsuit, based on a policy provision giving the insurer power to … Read More

The California Court of Appeal has ruled that a named insured’s spouse had standing to sue a CGL insurer for breach of contract and bad faith, even though the spouse was not a named defendant in the underlying suit. (Century Surety … Read More

The California Court of Appeal has ruled that, even if an insurer’s rescission of a policy was improper, the insured must still file suit within the time prescribed in the policy’s contractual limitation clause. (Akin v. Certain Underwriters at Lloyd’s of … Read More

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