Ruling: Some Asbestos Claims Not Subject To Agg. Limits
Source: National Underwriter
In a ruling made public on Wednesday, May 9th, 2007, The New York Supreme Court held that aggregate limits in insurance policies do not apply to all possible claims arising during business operations. The ruling, which upheld the claims against CNA of thousands of individuals seeking coverage for asbestos-related personal injuries, is considered to have broken legal ground by establishing that operational claims are not subject to the aggregate limits clauses regarding a products hazard. August J. Matteis Jr., lead trial counsel for the claimants, argued that "their claims were not barred by the aggregate limits in the policies because claims that arise out of exposure to asbestos during the installation process are considered 'operations' claims—therefore not subject to aggregate limits."
The ruling is considered a victory for policyholders as it expands the domain of coverage that insurers are responsible for fulfilling.
In a ruling made public on Wednesday, May 9th, 2007, The New York Supreme Court held that aggregate limits in insurance policies do not apply to all possible claims arising during business operations. The ruling, which upheld the claims against CNA of thousands of individuals seeking coverage for asbestos-related personal injuries, is considered to have broken legal ground by establishing that operational claims are not subject to the aggregate limits clauses regarding a products hazard. August J. Matteis Jr., lead trial counsel for the claimants, argued that "their claims were not barred by the aggregate limits in the policies because claims that arise out of exposure to asbestos during the installation process are considered 'operations' claims—therefore not subject to aggregate limits."
The ruling is considered a victory for policyholders as it expands the domain of coverage that insurers are responsible for fulfilling.
Labels: asbestos
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