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Superior Court Of Placer County - Politics - Nairaland

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Superior Court Of Placer County by anneetyner: 7:23am On Jun 01, 2021
Procedural Posture

Appellant insurer challenged the decision of the Superior Court of Placer County (California), which awarded summary judgment to respondent insured in an action for breach of contract.

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Overview

Respondent insured was sued and applied to appellant insurer and its other insurer for defense and indemnity. Appellant initially refused but later admitted its policy did cover the claims. However, appellant still insisted it had no duty to defend respondent because of the "other insurance" clause in the policy. The court held that appellant did not waive its right to assert policy limitations by its erroneous assertion of lack of coverage. The court noted that there was no misconduct by respondent, that appellant was not damaged by respondent's actions, and that appellant would receive no benefit if respondent was required to provide primary insurance coverage instead of excess coverage. The court reversed the judgment and remanded for further proceedings.

Outcome

The court reversed the award of summary judgment to respondent insured and remanded to the trial court because appellant insurer did not waive its right to assert policy limitations by its erroneous assertion of lack of coverage.

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