O&B Wins Arbitration and Obtains Insurance Coverage for New York City Doctors
September 2003

By: Michael D. Brown

After a highly contested arbitration, O&B recently obtained a ruling from a panel of arbitrators that will have the effect of providing insurance coverage for doctors practicing in New York City. O&B's client, the Federation of Jewish Philanthropies ("FOJP"), managed a complex insurance program that provided millions of dollars of insurance coverage for doctors facing medical malpractice claims at six New York City hospitals. Years after the policies were issued, one of the insurance companies with which the coverage was placed refused to pay over a million dollars in claims that had been submitted. United National Insurance contended that unlike the other insurance companies in the program, it had not agreed to cover claims that were made after a certain date. FOJP was forced to commence an arbitration against United National, and had to prove that United National was aware of the terms of the coverage when the policy was issued. Complicating matters was the fact that the underwriting of the insurance took place nearly fifteen years ago, and was negotiated with underwriters at Lloyd's of London. After several months of discovery, including depositions across the country, O&B was able to convince a panel of arbitrators in Chicago that, in fact, United National was responsible for covering the claims at issue, and that its failure to do so constituted a breach of contract.

Michael D. Brown and John R. Sachs, Jr. represented FOJP in its arbitration against United National Insurance.

(Prior results do not guarantee a similar outcome.)