Construction Defect Disputes and Insurance Claims: Navigating Complex Multi-Party and Multi-Policy Issues
Vertical vs. Horizontal Coverage Exhaustion; Policy Allocation; Priority of Payment; Additional Insureds
A live 90-minute CLE video webinar with interactive Q&A
This CLE course will discuss vertical vs. horizontal insurance coverage exhaustion in construction defect disputes. The program will analyze the impact of exhaustion on allocation between the contractor's primary and excess coverage, the priority of payment between the contractor and its subcontractors, and the impact on additional insured coverage. The program will discuss best practices for resolving allocation disputes in construction claims involving multiple parties and layers of coverage.
Outline
- Horizontal and vertical exhaustion of coverage for construction defect claims
- Priority of coverage between contractors' primary carrier and excess insurer
- Priority of coverage between contractor and subcontractor policies
- Impact of exhaustion rules on additional insured coverage
- Dichotomy of views among states and recent case law
Benefits
The panel will review these and other key issues:
- How can counsel resolve issues that arise between the excess carrier and primary carrier when the primary carrier settles for less than the policy limits?
- How do the exhaustion of coverage rules determine priority of coverage between the contractor's policies and the policies of subcontractors?
- When additional insured coverage involves both primary and excess policies, what are the best strategies for resolving vertical vs. horizontal exhaustion?
Faculty
David M. Adelstein
Partner
Kirwin Norris
Mr. Adelstein represents general contractors, subcontractors, design professionals, developers, associations,... | Read More
Mr. Adelstein represents general contractors, subcontractors, design professionals, developers, associations, suppliers, sureties, and owners in a myriad of construction matters including, without limitation, construction/design defect claims, schedule-based claims (including inefficiency, lost productivity, and acceleration claims), bid protests, payment disputes, lien and bond claims, liability and property insurance issues, and a host of other issues that affect the construction industry. He prepares and negotiates construction contracts for clients utilizing AIA, EJCDC, and AGC industry form documents, as well as contracts that are not based on an industry form document.
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Christopher Yetka
Shareholder
Larkin Hoffman Daly & Lindgren
Mr. Yetka is a commercial trial attorney focusing his practice on insurance recovery disputes. He has successfully... | Read More
Mr. Yetka is a commercial trial attorney focusing his practice on insurance recovery disputes. He has successfully enforced the coverage rights of policyholders across the country in cases relating to nearly every type of insurance policy. He has represented and counseled construction companies, financial institutions, utilities, medical device companies, product manufacturers, transportation companies, agricultural businesses and technology companies. Mr. Yetka provides advice to general counsel in the areas of legal and regulatory compliance, records management and document retention, and in the evolving area of cyber security. He is a Fellow of the American College of Coverage Counsel, a Vice Chair (and former Chair) of the Insurance Coverage Litigation Committee of the ABA, and a Program Committee Member of the Minnesota Chapter of the Risk and Insurance Management Society Inc. (RIMS).
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