Insurer Not Responsible For Coal Executive’s Black Lung Liabilities

Liberty Mutual is not liable for claims potentially facing an executive for a coal company that did not have a black-lung endorsement on its workers compensation policy, a federal appeals court ruled. Upholding a district court ruling, the 10th U.S. Court of Appeals in Denver ruled Monday in Liberty Mutual Fire Insurance Co. vs. Woolman, et al. that the insurer did not breach its duty to Dennis Woolman, former president of The Clemens Coal Company, which operated a surface coal mine in Pittsburg, Kansas, before filing for bankruptcy in 1997, by failing to include a black-lung endorsement, even though the firm’s previous coverage with another insurer included an endorsement.