Trigger of Coverage
Last week was the one-year anniversary of Harleysville Mut. Ins. Co. v. Hartford Cas. Ins. Co., 2015 WL 859586 (E.D.N.C. Feb. 27, 2015), in which the United States District Court for the Eastern District of North Carolina required five insurers to equally contribute to the defense of a mutual insured in connection with three underlying construction defect lawsuits. Predicting how a North Carolina Court would rule, the federal court applied a multiple trigger theory of coverage where the points in time at which the injury-in-fact occurred were unknown and not alleged in the underlying lawsuits. The parties are currently awaiting further rulings as Harleysville is on appeal to the Fourth Circuit.