The insured should not forfeit coverage by settling without insurance company’s authority when the insurance company intentionally places itself in an adversarial position with its insured by issuing a Reservation of Rights.
Motiva Enterprises, LLC vs. St. Paul Fire & Marine Insurance Company and National Union Fire Insurance Company of Pittsburgh, PA
Court U.S. Court of Appeals, 5th Circuit
Case Number 05-20139
- No forfeit of coverage for settline without insurance company's authority.