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TODAY'S TOP DEVELOPMENTS Tuesday, June 30, 2015

Industry news, expert analysis, and daily updates on the most significant insurance coverage legal developments—from the insurance and legal experts of The National Underwriter Company.


Crime and Employee Dishonesty
Notice-Prejudice Rule Did Not Apply to Fidelity Bond, Colorado District Court Holds
A federal district court in Colorado has ruled that the notice-prejudice rule did not apply to a fidelity bond. Read More

Crime and Employee Dishonesty

Fidelity Bond Covered Bank's Loss from Advance Money Scam, Eighth Circuit Rules
The U.S. Court of Appeals for the Eighth Circuit, affirming a decision by the U.S. District Court for the District of Minnesota, has ruled that a fidelity bond covered a settlement that a bank reached with two individuals a bank employee induced to invest in an advance money scam. Read More

Commercial Property
New Hampshire Hospital's Bid for Communicable Disease and Crisis Management Coverage Fails
The possible contamination of surgical instruments after exposure to a communicable neurological disease did not lead to coverage under either the communicable disease or crisis management portion of a commercial property insurance policy issued to a hospital where the entire premises had not been disinfected, decontaminated, or evacuated, a New Hampshire federal district court has ruled. Read More

Ninth Circuit: Damage from Mites Was Excluded from Coverage by Policy's Vermin Exclusion
The U.S. Court of Appeals for the Ninth Circuit, affirming a decision by the U.S. District Court for the Eastern District of California, has ruled that "mites" were the "paradigmatic example of 'vermin'" for purposes of a policy exclusion to a farm owner's insurance policy. Read More

View All Case Law Developments

Federal Actions

Mortgage Lender Illegally Referred Consumers to Mortgage Insurers in Exchange for Kickbacks, Consumer Financial Protection Bureau Finds
The director of the federal Consumer Financial Protection Bureau ("CFPB"), Richard Cordray, has issued a decision in the first appeal of a CFPB administrative enforcement proceeding and has concluded that PHH Corp., a mortgage lender, illegally referred consumers to mortgage insurers in exchange for kickbacks. Read More

Claims Resolution
Lloyds Banking Group Fined £117 Million for Failing to Handle Payment Protection Insurance Complaints Fairly
The United Kingdom's Financial Conduct Authority has issued its largest ever retail fine – £117 million – to Lloyds Bank Plc, Bank of Scotland Plc, and Black Horse Ltd, for failing to treat their customers fairly when handling payment protection insurance complaints between March 2012 and May 2013. Read More

View All Legislative/Regulatory Developments
W. R. Berkley Appoints Matthew M. Ricciardi Senior Vice President and General Counsel Read More

ProSight Specialty Insurance Launches Drone Insurance Coverage 
Read More

Michael Tipsord to Become CEO of State Farm in September; Edward B. Rust Jr. to Step Down Read More

Dickie, McCamey & Chilcote Hires Insurance Attorneys Beverly M. Barr, Dorothy T. Daly, and Eric D. Walstrom 
Read More

Essent Names Joseph G. Hissong President of Essent Reinsurance and Paul C. Wollmann Chief Underwriting Officer Read More

View All Industry News
Property in Transit Coverage on the BOP


Browse our entire library of over 2,500 insurance resources and forms.

View Entire May / June Insurance Coverage Law Report
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60px_newMeyerowitz Steven A. Meyerowitz, ESQ.
Director, FC&S Legal
60px_newSpears Victoria Prussen Spears, ESQ.
Associate Director, FC&S Legal
FC&S Legal Editorial Advisory Board
Mitchell J. Auslander, Willkie Farr & Gallagher LLP
Carrie Cope, Schuyler, Roche & Crisham, P.C.
Anjali C. Das, Wilson Elser
John F. Finnegan, Chadbourne & Parke LLP
Michele L. Jacobson, Stroock & Stroock & Lavan LLP
Timothy P. Law, Reed Smith LLP
Cort T. Malone, Anderson Kill, P.C.
Richard D. Milone, Kelley Drye & Warren LLP
Joseph P. Monteleone, Rivkin Radler LLP
Anne M. Murray, Rivkin Radler LLP
Jerold Oshinsky, Kasowitz, Benson, Torres & Friedman LLP
Seth B. Schafler, Proskauer Rose LLP
Thomas F. Segalla, Goldberg Segalla
David D. Thamann, The National Underwriter Company

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