Insurer Must Pay For Cost Of Suing
NU Online News Service, Aug. 18, 9:43 a.m. EDT?A Federal appeals court has affirmed the obligation of an insurer to not only defend its policyholder, but also pay the expenses it cost to sue the same insurer when it refused to cover the claim.[@@]
The decision of the Fifth U.S. Circuit in New Orleans affirms the finding of a U.S. District Court jury in Houston that the American Home Insurance Company, a subsidiary of New York City-based AIG, breached its duty when it denied a claim of its client, the United Space Alliance, the NASA prime contractor for Space Shuttle Operations.
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more inforrmation visit Asset & Logo Licensing.
