Definitions in CGL Form Affect Coverage

Our insured is being sued along with the health insurance provider by a hospital because the health insurance provider has refused to pay a large hospital bill. The bill is for an employee's spouse. The CGL carrier has denied coverage for the lawsuit, but this general liability policy has a definition that has raised a question for us. This policy defines a claim as “any demand or suit made by an employee, dependent, and beneficiary”. Would this definition allow coverage for the hospital's lawsuit?

Arkansas Subscriber