Does an insurer have the right to recover defense costs and fees from an insured? (Photo: Shutterstock) Does an insurer have the right to recover defense costs and fees from an insured? (Photo: Shutterstock)

In American West Home Insurance Co. v. Gjonaj Realty & Management Co., the New York Appellate Division, Second Department addressed an issue of first impression — that is, whether an insurance company may recover the costs of defending its insureds in an underlying personal injury action "where there has been a reservation of rights by the insurance company and a determination by the court that the insurance company has no obligation to defend and provide insurance coverage to the insureds" in such action.

Recommended For You

Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader

Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
  • Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.