September 27, 2017 Articles

Insurance Defense Counsel Must Be Cautious in Sharing Information with the Insurer

Counsel must always consider whether disclosure would potentially have adverse effects on the policyholder

by William T. Barker

While insurance defense counsel are permitted to share most information about the cases they defend with the insurance carriers that have retained them to provide that defense, that permission is not unlimited.[2] Attention was drawn to these limits by a decision in Cosgrove v. National Fire & Marine Insurance Co.[3] A motion to reconsider was filed, the case settled, and the opinion withdrawn and sealed.[4] Thus, whatever precedential value the opinion might have had has been erased. But the fact pattern and the court’s analysis are still worthy of attention for the lessons that may be drawn from them.

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