No D&O coverage for claim based on acts before Retroactive Date
April 1st, 2013 — 6:40pm
by Chris Graham and Joseph Kelly
D&O insurer granted summary judgment that it had no obligation to defend or indemnify insureds based on policy’s Retroactive Date of September 1, 2010 because all alleged wrongdoing occurred no later than 2009. Retroactive dates limit coverage to a specific date defined in the policy. Here, “Retroactive Date” meant the date “from which coverage has been maintained by the insured without interruption.” There was a gap in coverage between Insureds prior D&O policy which expired on August 21, 2010 and the policy at issue which began on September 1, 2010. Summary judgment was granted because the first date of uninterrupted coverage was September 1, 2010 – after the alleged wrongdoing.