Hunton Insurance Recovery Blog

Hunton Insurance attorneys Syed Ahmad and Geoffrey Fehling provided several updates on recent recall insurance disputes in the most recent edition of the Recall Roundup, posted on the Hunton Retail Law Resource Blog.

The Hunton Andrews Kurth insurance recovery team secured a victory for firm client, The Children’s Place (“TCP”), obtaining a ruling from a New Jersey federal court in The Children’s Place, Inc. v. Great Am. Ins. Co., 2019 WL 1857118 (D.N.J. Apr. 25, 2019), in which the court allowed TCP to seek insurance coverage for a “social engineering scheme” that defrauded the company of $967,714.29.

On November 4, Michael Levine and Matthew McLellan provided commentary for Westlaw about the Fifth Circuit’s recent decision in Apache Corp. v. Great American Insurance Co., No. 15-20499, 2016 WL 6090901 (5^th Cir. Oct. 18, 2016), on which Michael Levine had previously written a blog post. In the Westlaw Journal: Computer and Internet, Mike and Matt discussed a frustrating gap in coverage for “computer fraud” that may be found in some crime policies. They encourage policyholders to review their legacy and cyber policies to ensure that complex cyber risks are actually covered ...

In a seemingly illogical decision, the Fifth Circuit Court of Appeals ruled in Apache Corp. v. Great American Ins. Co., No 15-20499 (5th Cir. Oct. 18, 2016), that loss resulting from a fraudulent e-mail did not trigger coverage under a crime policy's "computer fraud" coverage because the loss was not the "direct result" of computer use.