Unregistered Security Exclusion Bars Professional Liability Coverage, Panel Affirms

Mealey's (July 15, 2022, 11:18 AM EDT) -- CINCINNATI — Affirming a lower federal court’s summary judgment ruling in favor of a professional liability insurer, the Sixth Circuit U.S. Court of Appeals on July 14 held that a policy’s “Unregistered Security Exclusion” bars coverage for underlying lawsuits alleging that the insureds falsely represented a new investment product as “secure” and sold an unregistered security in violation of Michigan’s securities laws....