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Texas Supreme Court Strengthens Additional Insured Coverage Rights

April 24, 2023

Via: JD Supra

In a recent decision, the Supreme Court of Texas issued helpful guidance to businesses, nonprofits, and individuals seeking coverage as an “additional insured” under policies issued by a business partner. On April 14, 2023, in ExxonMobil Corporation v. National Union Fire Insurance Co. et al., Case No. 21-0936, the court determined that National Union owed Exxon coverage as an “additional insured” for workplace injury claims under an umbrella policy that National Union issued to an Exxon subcontractor. The court rejected efforts by National Union to defeat coverage by relying on documents outside of the umbrella policy (i.e., extrinsic evidence).

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