Court Rules Insurance Companies Must Produce Documents in Coverage Fight With TransCanada

LexisNexis Insurance Law Center Blog Post

PUBLISHED ON: August 26, 2013

On August 15, 2013, the Supreme Court of the State of New York, New York County, rejected arguments by Factory Mutual Insurance Company, AIG, ACE, and Arch, that the work done by their coverage counsel in connection with handling a claim was not discoverable.

Granting TransCanada’s motion to compel production of documents, the court held that documents generated by an insurance company as part of its handling of a claim, but before it decides to deny a claim, are not work product even if they were prepared by counsel. Allowing a narrow exception for documents that actually contain legal advice, the Court ordered the insurance companies to produce documents that the insurance companies argued were attorney work-product or protected by the attorney-client privilege.

Read the full article: Court Rules Insurance Companies Must Produce Documents in Coverage Fight With TransCanada