The U.S. District Court for the Southern District of New York dismissed a putative class action against Paul, Weiss client Federal Insurance Company, a member of the Chubb Group of Insurance Companies, that alleged that disability insurance policies underwritten by Federal and other insurers violated New York's insurance laws and regulations and were otherwise deceptively marketed. Judge Paul G. Gardephe held that the plaintiffs, who had never submitted a claim for benefits under the now-expired policies, lacked Article III standing to sue.
The case involved the HealthExtras Program, which marketed accidental disability and medical expense insurance coverage between 1999 and 2014 to the holders of major credit cards and other branded cards. The policies were endorsed by Christopher Reeve, the Superman actor who became a quadriplegic after being thrown from a horse. The plaintiffs' counsel filed similar state-by-state putative class actions against other underwriters and participants in the HealthExtras Program, but not Federal, in 11 other states and the District of Columbia.