Cybersecurity: Stolen $1.4 Million Not Covered Under Fraud
Policy
The US District Court for the Eastern District of Pennsylvania
recently determined that a $1.4 million wire
transfer fraud was not covered under Ryeco, LLC, a fruit
distributor s, commercial crime policy.
Ryeco, LLC v.
Selective Ins. Co., No. 2:20-cv-03182 (E.D. Pa. May 13, 2021).
A hacker in South Africa had gained access to Ryeco s network,
fraudulently applied the company s vice president s
signature to wire transfer forms, and emailed these forms to
Ryeco s bank, causing the funds to be transferred into a sham
account.
Ryeco discovered the fraud, performed a forensic investigation,
and obtained a coverage denial from Selective Insurance Company.
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7th Circ. Nixes Insurer s $2.8M Loss For Declining TM Defense
Law360 (April 26, 2021, 10:17 PM EDT) The Seventh Circuit on Monday reversed a lower court s ruling doling out $2.8 million to a marker company after a judge determined that its insurer acted vexatiously in declining to cover its defense in a trademark dispute, with the panel finding that the marker company can t pursue damages beyond its insurance contract.
In a 14-page opinion, a three-judge panel unanimously found that Illinois-based Creation Supply Inc. s claim against Selective Insurance Company of the Southeast under Section 155 of the Illinois Insurance Code does not pass muster. Section 155 allows an insured party to go after its insurer for extracontractual damages if.
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BRANCHVILLE, N.J., Jan. 14, 2021 /PRNewswire/ More than 2 in 5 (43%) of home insurance policyholders who purchased or received valuable items (worth $1,000 or more) during the recent holiday season did not update their insurance coverage to insure those items, according to a new study commissioned by Selective and conducted by The Harris Poll.
Infographic: Selective Insurance and Harris Poll Survey of High-Value Holiday Gifts and Insurance.
The online study, which polled over 1,700 US homeowners/renters insurance policyholders (policyholders) in late December 2020, found that nearly one-third (29%) of policyholders are not aware of the need to update a homeowners or renters insurance policy to protect new high-value items in case of a loss caused by an event like fire, flood, or burglary. Of those policyholders that updated/plan to update their insurance policy to reflect their new high-value items received/purchased during the holidays, 5