Insurance Covers a Lot but not Every Possible Cause or Loss

0
4K

No Coverage for Qui Tam Suit Filed Before Inception of Policy

Read the full article at https://www.linkedin.com/pulse/investigation-qui-tam-suit-covered-do-policy-barry-zalma-esq-cfe and at https://zalma.com/blog plus more than 3900 posts. 

Responding to lawsuits and investigations is expensive (even when they are without merit). That reality became clear when Plaintiff Springstone, Inc. incurred substantial legal fees responding to a government subpoena based on a sealed qui tam lawsuit. Springstone thought it had purchased insurance from Defendant Hiscox Insurance Company, Inc. to cover it from certain legal claims, including the expenses of dealing with the government. In Springstone, Inc. v. Hiscox Insurance Company, Inc., No. 20-6014, United States Court of Appeals, Sixth Circuit (September 17, 2021) the Sixth Circuit was asked to compel an insurer to pay for defense costs resulting from a whistleblower law suit that Hiscox proved to the trial court it was not covered.

ZALMA OPINION

Springtone learned, by this litigation, that no insurance policy covers every possible incident that might cost the insured money to defend every possible event. In addition, a D&O policy is claims made and there is no right to recover if the suit was filed – as was the qui tam suit, before the policy came into effect. Insurance covers a lot but not everything.

Patrocinado

We are 100% funded for October.

Thanks to everyone who helped out. 🥰

Xephula monthly operating expenses for 2024 - Server: $143/month - Backup Software: $6/month - Object Storage: $6/month - SMTP Service: $10/month - Stripe Processing Fees: ~$10/month - Total: $175/month

Xephula Funding Meter

Please Donate Here

Pesquisar
Categorias
Leia Mais
Outro
Zalma's Insurance Fraud Letter - August 1, 2021
Zalma’s Insurance Fraud Letter – August 1, 2021 Posted on August 2, 2021 by Barry...
Por Barry Zalma 2021-08-02 12:17:07 0 3K
True Crime
True Crime of Insurance Fraud Video Number 70
True Crime of Insurance Fraud Video Number 70- The Golden TaxiRead the full article at...
Por Barry Zalma 2022-05-10 13:47:17 0 3K
Religion
What Baptism symbolizes.
For you are all sons of God through faith in Christ Jesus. For as many of you as were baptized...
Por Alamo NLP 2021-02-28 16:02:09 0 4K
Outro
Post Loss Underwriting
“Post Loss Underwriting” – How the Equitable Remedy of Rescission Was Changed...
Por Barry Zalma 2023-11-07 20:52:15 0 4K
Politically Incorrect
White and Black Make Grey
Read the story here... One thing you should always consider whenever some great disaster happens...
Por Scathing Take 2020-08-03 02:24:17 0 4K