The California State Court of Appeals recently reaffirmed that, under California law, claims made in one policy period and reported in a subsequent policy period are not covered under either of consecutive "claims made and reported" policies when both policies require that a claim be made and reported during the same policy period. Westrec Marina Management, Inc., v. Arrowood Indemnity Company No B195047 (June 16, 2008). The decisions sends again a clear warning to insureds that notice of a claim must be promptly made in order to avoid potential coverage issues.
For a full copy of the decision, please click here.
For our post addressing other aspects of the decision, please click here.