Single-Year, Multi-Year, and Multi-Policy Insurance Coverage Claims Disputes

Summary

This practice note addresses issues that can arise for policyholders and insurers when insurance policies of various durations are called upon to answer for claims and when multiple insurance policies may also apply. The order in which the policies apply can sometimes be dictated by the language of the policies, sometimes by the law of the governing jurisdiction, and sometimes broader insurance rules will determine the answer. The practice note will also speak to situations when claims span lengthy periods, often called "long-tail claims." These can be complex because separate policies may have been in force during the pendency of the occurrence. Complexity is compounded by issuance of the policies by the same insurer (for separate periods) or by different insurers. The concern often arises in asbestos, PFAs, other environmental claims, and sexual abuse claims.