A Texas case suggests that insurers should be "cautious" whendetermining whether their duty to defend an insured has ended,according to attorneys who have studied the Texas Court of Appealsdecision.
The decision, involving allegations of sexual abuse by a campcounselor, also makes clear that policy language endorsements thatmodify other coverage forms do not provide separate grants ofcoverage, according to lawyers at Hunton & Williams in McLean,Va.
According to the firm's analysis, the TIG Insurance Co. v SanAntonio YMCA case suggests that courts, in Texas at least, willenforce provisions of sexual abuse endorsements or limitations tocoverage by defining the occurrence by the perpetrator, not thenumber of victims.
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