|Asbestos Diseases Not Covered by Accident Insurance|
|Description||Appeals court affirmed that a policy held by an employer that covered “bodily injury by accident” did not apply to asbestos-related diseases suffered by workers.|
|Key Words||Workers’ Compensation; Excess Coverage; Asbestos|
|C A S E S U M M A R Y|
|Facts||Riverwood bought Excess Workers’ Compensation and Employers’ Liability policies from Wausau from 1974 to 1984. After 2000, a number of former workers sued Riverwood for damages from asbestos-related diseases allegedly caused by exposure to asbestos while working at a Riverwood facility. The claims were settled for $1.5 million. Riverwood sued Wausau for contribution since the claims extended back to the 1974-84 period. The policy covers “bodily injury by disease.” The trial court held for Wausau. Riverwood appealed.|
Affirmed. While the term “bodily injury by accident” is ambiguous, it is not reasonable to assert that asbestos-related diseases are covered under that term. A disease is not an accident.
|Citation||Riverwood International Corp. v. Employers Insurance of Wausau, 420 F.3d 378 (5th Cir., 2005)|
Back to Insurance Listings
©1997-2003 SW Legal Studies in Business. All Rights Reserved.