In Luxottica of Am. Inc. v. Allianz Global Risks US Ins. Co., No. 1:20-cv-698, 2022 WL 1204870 (S.D. Ohio April 22, 2022), what the Court identified as "indemnity reserves," the Court held to be protected work product under federal civil procedure in a third-party bad faith case. Confused yet? The Court itself was unsure of the exact distinction between "indemnity reserves" and "claim reserves." Nonetheless, the Court thought itself clear enough on the concepts at issue in this case to rule that indemnity reserves such as in the case at bar designate reserves that are directly related to the carrier's exposure to its insured given the claims involved. It was such reserves that the Court addressed when it ruled that they are protected work product under federal civil procedural rules in this third-party bad faith case. Luxottica, 2022 WL 1204870, at *1-*2.
See also 1 DENNIS J. WALL, LITIGATION AND PREVENTION OF INSURER BAD FAITH § 8:6 Home Office Claims Files and Setting of Reserves (3d Edition West Publishing Co., 2022 Supplements forthcoming).
Please read the disclaimer. This blog article ©2022 Dennis J. Wall. All rights reserved.
Comments