Following the Pennsylvania Superior Court determination that “regular use exclusions” in UM/UIM policies violated the Motor Vehicle Financial Responsibility Law (MVFRL) in 2021, and in light of the post-Gallagher decisions,...more
While it is well known that an insured has a clear and convincing standard of proving bad faith in order to recover such damages, it is lesser recognized that an insured does not have to prove outrageous conduct or evil...more
In Erie Insurance Exchange v. Mione, ---A.3d--- 2023 WL 2008314 (Pa. Feb. 15, 2023), the insured was involved in an accident while operating his motorcycle, which was insured by a Progressive Insurance policy, wherein he...more
The Pennsylvania Supreme Court recently adopted the “no-coverage exception” in Arlet v. Workers’ Compensation Appeal Board. 2022 WL 529350 (Pa. 2022). As most subrogation professionals are aware, the anti-subrogation rule...more
Senior Health Insurance Company of Pennsylvania (“SHIP”) was placed in rehabilitation in Pennsylvania in January 2020. On August 24, 2021, the Commonwealth Court of Pennsylvania approved the Rehabilitation Plan (the “Plan”),...more
On August 18, 2020, the Supreme Court of Pennsylvania held, in a 4-3 decision, that insurer, Truck Insurance Exchange, was entitled to withhold general contractor overhead and profit expenses (“GCOP”)...more
In the wake of government quarantine/shut down orders being executed in response to the pandemic, a flurry of bills were introduced in several states to retroactively create—by government fiat—business interruption insurance...more
In an exception to the COVID-19-related news that has dominated recent headlines, the Pennsylvania Supreme Court recently ruled in favor of an insured contending that its insurance carrier must provide defense and potential...more
The Joseph Tambellini Restaurant in Pittsburgh, Pennsylvania recently filed an Emergency Application for Extraordinary Relief to the Pennsylvania Supreme Court pursuant to the Extraordinary jurisdiction statute of 42 Pa.C.S....more
On May 14, 2020, the Supreme Court of Pennsylvania rejected a request by a group of Pennsylvania attorneys that the Court use its King’s Bench power in connection with a case seeking a determination of whether an insurer owed...more
Welcome to CICR’s annual review of insurance cases. Here, we spotlight five (actually, seven) decisions from the last year that you should know about, and five pending cases—all before state high courts—to keep an eye on. The...more
How does an insured prove that an insurer acted in bad faith? Although the issue has been well settled since the Superior Court decided Terletsky v. Prudential Property & Casualty Insurance Co. in 1994, there has been much...more
On July 18, 2018, in Pennsylvania Manufacturers’ Association Insurance Company v. Johnson Matthey, Inc., et al., No. 24 MAP 2017 (Pa. July 18, 2018), the Pennsylvania Supreme Court quashed the Pennsylvania Manufacturers’...more
The Pennsylvania Supreme Court has, for the first time in the 37-year history of Pennsylvania’s bad faith insurance statute, 42 Pa.C.S. § 8371, considered the necessary elements of such a claim, and it has determined that...more
In its recent decision in Rancosky v. Washington National Insurance Company, the Pennsylvania Supreme Court examined, for the first time, Pennsylvania’s standard for insurance bad faith. The court held that, while an...more
For the first time, the Pennsylvania Supreme Court, the highest court in the state, enunciated the elements of a bad faith insurance claim brought pursuant to Pennsylvania’s bad faith statute, 42 Pa.C.S. § 8371. The decision...more
In an opinion dated September 28, 2017, the Pennsylvania Supreme Court, Western District, considered as an issue of first impression the level of proof required to prevail in a bad faith claim, examining the elements of a bad...more
In a much anticipated decision, the Pennsylvania Supreme Court cemented and clarified the test for bad faith set out in the 1994 Superior Court decision Terletsky v. Prudential—that an insurer’s bad faith is established by...more
Policyholders asserting an insurance bad faith claim need not show a dishonest purpose or motive of self-interest or ill will to prove their claim against insurers under Pennsylvania’s insurance bad faith statute, 42 Pa....more
Insurance coverage counsel have been anxiously awaiting the Pennsylvania Supreme Court's decision in Babcock & Wilcox Co. v. Am. Nuclear Insurers, 2015 Pa. Lexis 1551 (July 21, 2015), since the high court agreed to hear the...more
The Pennsylvania Supreme Court clarified an important liability insurance issue the other day. Mut. Benefit Ins. Co. v. Politsopoulos, 2015 Pa. LEXIS 1126 (Pa. May 26, 2015) (exclusion for liability for injury to “[a]n...more