7th Cir. Holds Primary Insurer May Be Liable for Loss of Excess Coverage

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In R.G. Wegman Construction Co. v. Admiral Ins. Co., 09-2022 (7th Cir. Jan. 14, 2011), the court held that a primary insurer (a) must

allow an insured to assume control of its own defense when there is a “nontrivial probability” of an excess judgment and (b) may be liable if its failure to do so prevents the insured from collecting

from its excess insurer.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

© Kenneth Gorenberg | Attorney Advertising

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