News & Analysis as of

Misrepresentation Insurance Claims

Wiley Rein LLP

No Second Bite at the Apple: New Emails Can’t Undo a False Application Response

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The United States District Court for the Central District of California, applying California law, has held that an insurer could rescind liability insurance policies based on misrepresentations in the application, even though...more

McGuireWoods LLP

North Carolina: Policyholders Not Contributorily Negligent for Agent’s Misstatements

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In a pro-policyholder ruling, the North Carolina Supreme Court recently held that a homeowner’s claims against an insurance agent for negligence and gross negligence, seeking punitive damages, survived a motion to dismiss...more

Carlton Fields

Litigation Under Construction: Recent Life Insurance and Long-Term Care Developments

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In Potovsky v. Lincoln Benefit Life Co., the Ninth Circuit Court of Appeals affirmed the dismissal of the insureds’ complaint for failure to sufficiently allege damages regarding the denial of a long-term care claim....more

Wiley Rein LLP

Coverage Barred for Portion of Settlements for Long Term Care Insurer’s Alleged Misrepresentations to Policyholders that...

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In a case in which Wiley represented one of the insurers, the Delaware Superior Court, applying Virginia law, has held that an exclusion in professional liability policies issued to an insurance company barring coverage for...more

Carlton Fields

New York Federal Court Enforces Exclusion Barring Coverage for Claims Based on Any Misrepresentation, Regardless of Perceived...

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When state law provides that an insurance contract can be rescinded for misrepresentations only if they are “material,” can an insurer contract around that rule by adding an exclusion for all claims based on any...more

Rivkin Radler LLP

February 2025 New York Insurance Coverage Law Update

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The insured is a Texas-based hotel operator. A windstorm damaged one of its hotels in Texas and three months later the insured reported the loss to Mt. Hawley Insurance Company, its commercial property insurer. The policy...more

Rivkin Radler LLP

September 2024 New York Insurance Coverage Law Update

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Southern District Holds Insured Not Entitled To Judgment On Pleadings As To Duty To Defend Because Extrinsic Evidence May Show Duty Is Terminated- Color Techniques, Inc. (CTI) sold ingredients used in cosmetic formulations...more

Rodemer Kane Attorneys at Law

What Is an Example of a Bad Faith Claim?

When dealing with insurance companies, one expects a straightforward process—pay your premiums, and when misfortune strikes, your insurer covers the costs as promised. Unfortunately, this isn't always the case....more

Rivkin Radler LLP

September 2024 Insurance Update

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In this month’s update, we discuss Russian-seized planes, Starbucks-caused traffic jams, a squabble over the use of a family name, a restaurant’s pandemic-based loss, a poorly built house, and whether insurance covers any of...more

Goldberg Segalla

Fraud Doesn't Pay in New York – August 2024 Update

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As a part of our Quarterly Practice Group Update, we are pleased to produce our latest installment of our continued success in fraud litigation. This report was originally conceptualized three years ago as a one-time...more

Wiley Rein LLP

Policy Rescinded Based on Insured’s Material Misrepresentation in Renewal Application

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An Indiana federal court, applying Indiana law, has held that an insurer could rescind a claims-made-and-reported professional errors and omissions policy based on misrepresentations made by the insured in the policy renewal...more

Carlton Fields

Texas Doubles Down on “Intent to Deceive” as Requirement to Void Insurance Policy

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The Texas Supreme Court reinforced common law precedent that insurers cannot avoid liability under an insurance policy based on a misrepresentation in an insurance application unless the insurer can establish that the insured...more

Kerr Russell

Did I Commit Fraud?

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Question: I am under audit by a dental plan I participate with. The audit has identified a few issues in connection with how my billing employees have been submitting claims for payment. For example, the name of the treating...more

Wiley Rein LLP

Company’s Misrepresentations Warrant Policy Rescission Under Florida Law

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A Florida federal district court has held that an insurer is entitled to rescind a directors and officers (D&O) policy it issued to its insured due to the insured’s misrepresentation of material facts on its application for...more

Rivkin Radler LLP

New York Insurance Coverage Law Update - September 29 2022

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Court Finds That Named Insured “Executed” Contract With Additional Insured, Triggering Duty To Defend- Stoncor, a flooring systems manufacturer, sent Surfacesys a proposed Master Installation Agreement to become an...more

Rivkin Radler LLP

Insurance Update - April 2022

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Cases in our April Insurance Update address several questions: •Are costs incurred to comply with a subpoena covered? •What must an insured show to rebut the presumption of prejudice in a late notice situation? •What...more

Rivkin Radler LLP

Insurance Update - October 2021

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Here’s our October Insurance Update. The Sixth Circuit had insurance on its mind this past month. Three of the decisions we discuss in our update are from that court. First, the Sixth Circuit joins the Eighth and...more

Holland & Knight LLP

Food and Beverage Law Update: July 2021

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"The overwhelming majority of courts have concluded that neither COVID-19 nor the governmental orders associated with it cause or constitute property loss or damage for purposes of insurance coverage." So concluded the...more

Searcy Denney Scarola Barnhart & Shipley

8 Social Media Tips for Car Accident Claimants

Social media can be lighthearted, funny, informative (e.g., who has the best New York Style Pizza in West Palm Beach?), and just plain fun. It can also be a catalyst for many positive changes; e.g., badly needed fundraisers....more

Wiley Rein LLP

Whether Insured Misrepresented or Concealed Information in Application is a Fact Issue for Trial

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The United States District Court for the Northern District of California has held that, in an action to rescind a professional liability policy, a triable issue of fact existed regarding whether an insured misrepresented or...more

Polsinelli

Re-Opening the Economy and Getting Back to Business: Business Owners’ Liability Risk When Dealing With Customers and Others

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While the “right” time to open the economy is hotly debated, many states have made the decision that it is time to get back to business.  That means that businesses will be opening while there is still a continuing risk of...more

Carlton Fields

Under the Microscope: Dissecting Errors to Evaluate RWI Damage Claims

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After an M&A transaction, a buyer may discover certain misrepresentations as to the target company’s historical reserves. These misrepresentations often result in a RWI claim by the acquiring company. In these cases, it is...more

Carlton Fields

The Building Blocks of Materiality

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Representations and warranties play an important role in M&A agreements by providing valuable disclosures and allocating risks between the parties. Representations regarding the target company’s financial statements are...more

Robinson+Cole Property Insurance Coverage...

Failure to Cooperate and Misrepresentation: New York Federal Court Grants Summary Judgment Finding Insured Explanations for False...

While issues of fact can preclude summary judgment in some cases involving failure to cooperate and misrepresentation, a New York federal court recently granted summary judgment to an insurer in this context. ...more

K&L Gates LLP

OnRisk: The Misrepresentation Defense

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In this episode of OnRisk, K&L Gates attorneys Carolyn Branthoover and Max Louik discuss the misrepresentation defense, also known as the rescission defense, a defense that insurers have been aggressively pursuing in recent...more

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