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Cost Allocation Insurance Industry

Wiley Rein LLP

Massachusetts Federal Court Holds Defense Costs Must Be Reasonably Allocated Between Insured and Non-Insured Parties

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A Massachusetts federal court, applying Massachusetts law, has held that the allocation of legal fees between two corporations is determined based on what reasonably would have been negotiated had each party in the joint...more

Wiley Rein LLP

Policy Requires Allocation of Defense Costs Based Upon Parties’ Relative Legal Exposure

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The United States District Court for the Central District of Illinois has held that an insurance policy requires allocation of defense costs based on the parties’ relative legal exposure if it clearly and unequivocally...more

JAMS

Don’t Let Coverage Issue Delay Settlement

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There are a number of steps in-house counsel can take to increase the likelihood of mediation while working with outside counsel on cases defended by carriers. Some mediations directly involve insurance, such as those...more

Locke Lord LLP

Allocation Of Covered And Uncovered Claims: Recent Decisions On Burden Shifting And Pre-Approval Requirements

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Ongoing efforts by insurers to recover amounts paid for uninsured losses after settlement or judgment have resulted in extensive litigation over allocation issues. Conflicting opinions have arisen over which party bears the...more

Cozen O'Connor

When 1 Percent of Fault = 100 Percent of Damages: Understanding Subrogated Recovery in Quebec

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In a subrogation action where multiple defendants have caused the plaintiffs’ loss, courts will generally allocate a percentage of liability to each defendant. Even so, a plaintiff can collect 100 percent of its judgment from...more

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