Wisconsin Court Confirms Importance for Businesses to Timely Report Insurance Claims
Susan G. Schellinger
The Wisconsin Supreme Court recently issued a decision that drives home the importance for businesses and individuals, as policyholders, to immediately report claims to their insurance company, writes Susan G. Schellinger, a shareholder in the Milwaukee office of Davis & Kuelthau.
“Even a small delay may result in a loss of coverage thereby increasing the risk that, if a claim against you is successful, you will be left to pay for the legal fees to defend the claim, along with the damages that you may be ultimately responsible for – even if your insurance policy would have paid those costs in full if you had notified the insurance company promptly,” she writes.
In the recent case of Anderson v. Aul, issued Feb. 25, 2015, the Wisconsin Supreme Court found that under a claims-made-and-reported liability policy, the policyholder’s failure to report the claim during the term of the policy resulted in a loss of coverage.
