General liability coverage is typically triggered by an “occurrence,” which is defined, in part, as an accident that causes bodily injury or property damage for which the insured is responsible. Musick Peeler’s recent summary judgment success in District Court underscores the rule that deliberate acts of the insured that cause injury do not constitute an accident under California insurance law, even if they are alleged to have caused unexpected harm.
Continue ReadingDeliberate Conduct Is Not An “Accident”
Recently Enacted Code of Civil Procedure Sections 999 – 999.5 Seek to Clarify and Define the Process for Making and Responding to Time-Limited Policy Limits Demands Under Certain Liability Policies
California case law allows for extracontractual damages to be awarded for a breach of the implied covenant of good faith and fair dealing (also known as “bad faith”) where an insurer unreasonably refused to accept a settlement offer within a policyholder’s liability policy limits. California courts have struggled for decades to define the elements of an insurer’s bad faith failure to settle. Some decisions focused on the reasonableness of the settlement demand, whereas others focused on whether the insurer’s rejection of the settlement demand was unreasonable.
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