Philadelphia Indemnity also issued a set of claims-making management liability policies covering directors and officers as well as employment practices. Unlike event-based policies, claims-made coverage is triggered when a claim is actually filed, not when the underlying events occur, meaning that theoretically those policies could respond to lawsuits filed years after the fact. The court also accepted the same. But those policies included an exclusion for claims arising from dishonesty, fraud or criminal acts where a final judgment established the liability of the insured. Because the consent judgment against Darlington involved exactly the same type of conduct – fraud, concealment and criminal wrongdoing – the exclusion applied across the board, regardless of how the individual claims were framed.
Georgia court vacates $345 million award against Darlington school insurers & more related News Here
