Jul 3, 2018
Jeff Kingsley, Co-Chair of Goldberg Segalla’s Global Insurance Services practice group, who has handled over a dozen high-exposure, multi-claimant cases, discusses the vexing scenario of multiple claimants and insufficient policy limits. Jeff begins by outlining the steps carriers should take when faced with an occurrence that may result in multiple claims. He then analyzes the settlement approach required by a majority of jurisdictions—the first come, first serve rule. Jeff also discusses the minority rules, which may require deviation from normal claims handling practices. Applicable to any jurisdiction, Jeff provides suggestions for carriers to avoid bad faith traps. Finally, Jeff analyzes the duty to settle rule found in the recently approved ALI Restatement of the Law of Liability Insurance.