Lawyer Spotlight - Client Service

Garth Gersten’s success in a recent insurance litigation case was the subject of an article in the March 18^th edition of North Carolina Lawyers Weekly.

 

The case, Kubit v. MAG Mutual Insurance, which was heard in the N.C. Court of Appeals, concerned several issues, including the obligation of the insured to notify their insurance companies of claims.

 

Gersten represented Travelers Property & Casualty Company of America, Travelers Indemnity Company and United States Fidelity & Guaranty Company. He successfully argued that Travelers and USF&G had no duty to pay for defense costs incurred prior to an insured giving notice to the insurer. The Court also held that Travelers and USF&G did not have a duty to defend the policy holders in an underlying tort action, because the policy holders failed to notify the insurance companies of the claim in a timely fashion, and did not have a “good faith” reason for the delay.

 

The trial court had entered summary judgment in favor of Travelers, but the policy holders appealed.

 

Gersten told N.C. Lawyers Weekly that the ruling is “important both for insurance companies and policyholders because it emphasizes that policyholders need to provide notice of claims as soon as possible to their carriers. Notice is not a luxury; it is sound risk management.”

 

Garth Gersten focuses his practice on insurance coverage, representing and advising policyholders and insurers. Garth has been selected for Best Lawyers in America for his work in insurance law. He practices in Womble Carlyle’s Winston-Salem office.