Insolvent Insurer Receiver’s $2M Consent Judgment Is Not Covered Under E&O Policy

Mealey's (October 21, 2019, 1:44 PM EDT) -- LITTLE ROCK, Ark. — A $2 million consent judgment sought by an insolvent insurer’s receiver is not covered under an errors and omissions insurance policy because a CEO is not a “covered person” under the E&O policy and the consent judgment does not qualify as “damages,” an Arkansas federal judge held Oct. 17, dismissing the case with prejudice (Allen W. Kerr v. Gotham Insurance Co., No. 18-423, E.D. Ark., 2019 U.S. Dist. LEXIS 180794)....