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Insurance Coverage Disputes

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Davis & Kuelthau's Insurance Coverage Practice Group has helped businesses, municipalities, school districts and individuals collect millions of dollars from insurance companies and insurance brokers after their claims had initially been denied. We understand the types of insurance coverage available, counsel clients about types of coverage they need, make claims which will most likely obtain coverage and, if necessary, litigate to get the insurance dollars to which our clients are entitled.

Frequently, we are able to assist our clients and have the insurance company pay our clients’ attorneys’ fees.

We have experience in a wide variety of insurance coverage issues, including commercial general liability, stop-loss, aviation, property, construction, environmental, directors and officers, worker's compensation, life, health and disability, and professional liability. Our team has helped shape the ever-developing law regarding insurance coverage in Wisconsin, handling cases that have yielded precedent-setting decisions at the highest level of the Wisconsin court system.

Insurance coverage cases we have handled

  • When the Southeast Wisconsin Professional Baseball Park District was created to build Miller Park, the District turned to us to help it procure appropriate insurance coverage for the massive construction project. When the "Big Blue" crane collapsed, we worked closely with the District, the Brewers and the construction managers to ensure all parties were "made whole" under their builders’ risk policies.
  • When errors and omissions of the architectural team caused increased costs, we successfully sought recovery from the applicable professional liability policy. Worker’s compensation disputes also arose, and our attorneys helped the District save hundreds of thousands of dollars in retroactive premium charges. When the builder of the retractable roof made claims against the District for extra work performed, Davis & Kuelthau successfully negotiated for the District’s commercial general liability carriers to pay nearly all of the cost of the extra work as well as the legal costs of defense.
  • When the insurer denied the claims of a school district that was self-insured for its employees' health benefits, we sued the insurance carrier and various agents and successfully negotiated a favorable settlement for the client under its stop loss policies, without the need for a lengthy and costly trial. 
  • We represented the insured in Towne Realty, Inc. v. Zurich Insurance, in a Wisconsin Supreme Court case which, among other things, changed Wisconsin law for the benefit of insureds by requiring insurance companies to bear the burden when they fail to clearly communicate with their insureds. The decision also set the rules as to what constitutes a "tender of defense," making it much easier for the insured to require the insurance company to cover the claim. 
  • When one of our business clients was denied coverage after being sued for racial discrimination in housing and its insurance company denied coverage, we convinced the 7th Circuit Court of Appeals that commercial general liability policies cover claims for emotional distress damages allegedly resulting from discrimination, even though the complaint against our client did not even allege this type of damage. 
  • When one of our business clients was sued by the Wisconsin DNR in an environmental claim, we obtained a large settlement amount even though the tenders of defense by our client were originally made, and denied, in the 1990s. We convinced the multiple insurance companies involved that a recent Wisconsin Supreme Court decision, Johnson Controls, changed the law in Wisconsin enough so that their basis for denial of coverage several years ago should be re-evaluated and disregarded.

The attorneys who are members of the Insurance Coverage Practice Group possess not only critical analytical skills and substantive knowledge about the laws pertaining to insurance coverage, but are also talented courtroom litigators accustomed to presenting oftentimes complex and detailed information to judges and juries. We are routinely in court assertively seeking the positive outcomes our clients expect.

For more information regarding our Insurance Coverage experience, please contact Tara Mathison at 414.225.1444 or tmathison@dkattorneys.com.

 

Attorneys' Notable Representations

  • Culhane

    James Culhane

    Jim represented a real estate services company that was sued by an officer of a large theatre venue claiming all sorts of wrongdoing. There was significant publicity surrounding the case. Jim asked the insurer of the real estate services company to defend against the claim, but the insurer refused. However, he successfully defended the company in the underlying case and then sued the insurer for breaching its duty to defend. He won the coverage issues at the trial court level, at the Court of Appeals level and also at the Wisconsin Supreme Court level, and was able to force the insurer to not only reimburse the company for the attorney fees it incurred in defending the underlying case, but also the attorney fees it incurred in prosecuting the insurance coverage claim. The victory changed Wisconsin law by requiring insurance companies to bear the burden when they fail to clearly communicate with their insureds. The case also set a new rule as to what constitutes a “tender of defense,”making it much easier for insureds to require their insurance company to cover the claim.

  • Mathison

    Tara M. Mathison

    Currently, Tara represents an insured which is defending against claims allegedly valued at tens of millions of dollars and involving acts or omissions which allegedly occurred decades ago. Even though the client was unable to locate copies of most of the relevant policies issued decades ago, Tara lead a team which uncovered sufficient evidence of the client's policies which enabled her to successfully negotiate a defense agreement with the various carriers.

  • Schellinger

    Susan G. Schellinger

    Sue played a significant role in obtaining insurance coverage for claims regarding the construction of Miller Park.  She was instrumental in obtaining insurance coverage for claims brought against the owner of Miller Park arising out of claims made by the roof builder.  She ultimately obtained a ruling by the circuit court that the insurers had breached their duty to defend. The finding that the insurers breached their duty to defend was instrumental in obtaining a very favorable settlement to the owner in which the owner was paid for all costs to remediate the construction defects, and any payments made to the roof builder for its claimed extra work were funded primarily by insurance monies.

  • Schellinger

    Susan G. Schellinger

    Sue represented a multinational company in a dispute with its insurer, where the insurer sought to claim back millions paid to defend numerous claims against our client for over a decade under numerous policy periods.  She convinced a judge to throw out the insurance company's claim.  

  • Mathison

    Tara M. Mathison

    Tara regularly represents policy holders in coverage disputes. She has extensive experience negotiating and litigating coverage under a variety of policies, including commercial general liability, property, business packages, builders' risk, employee benefits, directors and officers and other professional liability policies.

  • Culhane

    James Culhane

    In another dicey matter, Jim represented a Wisconsin School District that was self-insured for its employees’ health care benefits, but which had a stop-loss insurance policy with an insurance company for benefits paid which exceeded a specific amount. In 2003, the benefits paid exceeded the stop-loss minimum by over $2 million dollars but the insurer refused to pay anything, claiming it had not been provided with all necessary information by the school district when it underwrote the policy. After extensive litigation, Jim was successful in settling the case for over 90 percent of the school district’s claims.

  • Mathison

    Tara M. Mathison

    Tara was involved in negotiating the insurance coverage which resulted in payment by the insurance company of a substantial portion of the legal fees incurred in an expensive, three-year old shareholder dispute. She was also significantly involved in negotiating a settlement contribution from the same insurer on terms favorable to her client.

  • Culhane

    James Culhane

    After a large, real estate management company was sued by the Wisconsin DNR on an environmental claim, Jim obtained a large settlement from several insurance companies which had provided liability insurance over the years. The success was mainly based on convincing the insurance companies that a letter from the Wisconsin DNR was similar to a “suit seeking damages,” the requirement for coverage under all commercial general liability policies, and that the insurance companies’ pollution exclusions did not apply.

  • Gatewood

    Heather K. Gatewood

    Heather assists clients in negotiating with numerous insurance carriers regarding coverage for CERCLA related claims which, in some cases, are decades old.  

  • Schellinger

    Susan G. Schellinger

    Sue submitted an amicus brief to the Wisconsin Supreme Court on behalf of a business group in Plastics Engineering Company v. Liberty Mutual, a case in which the high court issued a landmark decision significantly impacting insured's coverage under standard commercial liability policies for asbestos claims and environmental claims.

  • Culhane

    James Culhane

    A Wisconsin based manufacturing company was the recent victim of employee theft in excess of hundreds of thousands of dollars. Even though the insurance company’s policy limits for employee theft was only $100,000, Jim was successful in securing much more in coverage, claiming that multiple policies, over multiple years, applied.

  • Mathison

    Tara M. Mathison

    Tara worked with several other attorneys while representing a client in a multi-million dollar dispute with its foreign venture partner which demanded over $50 million for breach of a joint venture agreement. Tara played a significant role in obtaining full coverage for all defense costs incurred by the client under a Commercial General Liability policy, notwithstanding the fact the partner’s claims sounded primarily in contract.

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