SDV Insights

Power & Energy Insights

Broad Interpretation of Professional Services Exclusion Bars Coverage for Pipeline Explosion Liability

Policyholders should be aware of professional services exclusions in their liability policies that may be broadly interpreted to exclude liability arising out of operations that, while traditionally not regarded as professional in nature, may include professional elements or duties. Furthermore, it should never be assumed that an umbrella or excess policy will provide follow-form coverage to a primary policy that does not contain a professional services exclusion.

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Refinery Power Outage Illuminates Importance of Service Interruption Coverage

In an action filed against Pacific Gas & Electric (PG&E) in the Eastern District of California last month, Valero Refining Co. alleges it sustained damages in excess of $75 million, including costs to restore operations and lost profits from decreased output, as a result of a power outage to its Benecia, California refinery. See Valero Refining Co. -- California v. Pacific Gas & Electric Co., 2:17-cv-01359-TLN-EFB (E.D.Cal. June 30, 2017).

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Texas Court Denies Exxon a La Carte Coverage

In April, the Court of Appeals of Texas held that a party seeking additional insured coverage under an umbrella general liability policy issued by Lexington Insurance Company cannot reap the benefits of being an additional insured, and simultaneously avoid the limitations of an arbitration clause contained in the policy.

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Is John Oliver Anti-Indemnity?

I love John Oliver. He’s smart, funny, and has an uncanny way of breaking down complicated issues into hilarious bite-sized jokes. But on Sunday night, while tackling North Dakota’s rel ...

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Will Builders Risk Get "LEGs"?

Tracy was interviewed for an article in the latest issue of Viewpoint (published by the AAIS) on LEG endorsements as a part of builders risk policies...

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