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Horizontal Exhaustion Doctrine Insurance Industry Excess Policies

Haight Brown & Bonesteel LLP

Appeals Court Rules that Vertical and Not Horizontal Exhaustion Applies to Primary and First-Layer Excess Insurance

In Santa Fe Braun v. Ins. Co. of North America (No. A151428, filed 7/13/20), a California appeals court relied on Montrose Chemical Corp. of California v. Superior Court (2020) 9 Cal.5th 215 (Montrose III), to hold that...more

Pillsbury Winthrop Shaw Pittman LLP

California Supreme Court Dumps Excess Insurers’ Horizontal Exhaustion Argument

In a long-running environmental case, the state’s high court rejects insurers’ theory of so-called horizontal exhaustion. California Supreme Court hands policyholders a victory in latest Montrose case and upholds...more

White and Williams LLP

California Supreme Court Adopts “Vertical Exhaustion” in the Long-Storied Montrose Environmental Coverage Litigation

On April 6, 2020, the California Supreme Court issued a decision that held a policyholder is entitled to access available excess coverage under any excess policy once it has exhausted directly underlying excess policies for...more

McCarter & English, LLP

New York High Court Applies All Sums Allocation To Long-Tail Claims Under Certain Insurance Policies

The New York Court of Appeals recently answered two certified questions from the Delaware Supreme Court concerning insurance allocation, and the Court’s answers may impact significantly policyholders litigating “long-tail”...more

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