Appeals Court Rules On Insurers’ Liability Coverage Dispute

A federal appeals court on Tuesday affirmed a lower court ruling on behalf of Selective Insurance Group Inc. in a coverage dispute with Amerisure Insurance Co. over a construction accident.

In 2015, an employee of Baldwinsville, New York-based C&D Laface Construction Inc., a subcontractor on construction of a movie theater in Camillus, New York, was seriously injured in an incident involving a forklift truck being driven by one of his co-workers, according to court papers in Amerisure Insurance Co., Amerisure Mutual Insurance Co. v. Selective Insurance Group Inc., DBA Selective Insurance Co. of America. The project’s contractor was Midlothian, Virginia-based Eilerson Development Corp.

Under provisions in the general contract and subcontract, EDC had obtained a commercial general liability policy and an umbrella policy from Farmington Hills, Michigan-based Amerisure and C&D had obtained a CGL policy and an umbrella policy from Branchville, New Jersey-based Selective.