In “No Houdinis Here,” the Thomson Reuter article published on January 7, 2022, Berger Kahn attorneys Erin Ezra, Mallory Yumol, and Walker Macon help readers navigate “other insurance” clauses.
When more than one policy applies to a single claim or injury, questions arise as to how many policies apply and in what order? The article explores the enforceability of so-called “Escape” clauses (that may say the insurer has no obligation to defend or indemnify the insured if other insurance covers the loss.
The article examines what appears to be increasing judicial skepticism regarding the enforcement of “other insurance” provisions that might allow insurance companies to avoid providing coverage the insured paid for or even leave an insured without adequate insurance. Erin, Mallory, and Walker explain common court attitudes toward “escape” clauses and emphasize the importance of analyzing coverage under all policies that can apply to a particular claim, even when it appears that one or more insurers have the claim entirely under control.