Hunton Insurance Recovery Blog

Courts nationwide have long held that defense costs incurred by a policyholder are presumed reasonable where an insurer breaches its duty to defend. The North Carolina Business Court in an opinion written by Judge Mark Davis recently adopted this rule under North Carolina law in Murphy-Brown, LLC v. Ace American Insurance Company, 2024 WL 4327353 (N.C.Super. Sep. 25, 2024).

Hunton insurance partner Geoffrey Fehling has been appointed Chair of the Insurance Law Committee of the Boston Bar Association (BBA) Financial Services Section.

A robust employee benefits program is critical to the success of any business. Of the types of benefits offered, a 401(k) retirement plan is as crucial as any. Businesses that administer such programs can protect themselves through Employee Benefits Liability coverage which is intended to cover errors and omissions in the administration of employee benefit programs.

Most insurance policies seek notice from the insured “as soon as practicable.” In certain jurisdictions, an insurance company cannot void coverage by arguing that the insured’s notice was somehow “late” unless the insurer can show that it has been prejudiced. This is referred to as the “notice-prejudice” rule. Because insurance is a state-law issue, the law on this issue varies from state to state.