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Decision Leaves Question for Trial Court About CIGA's Liability

Thursday, June 4, 2009 | 0

A recent appellate decision reinforced the concept that employers may not sue California Insurance Guarantee Association (CIGA) for torts, but left a question about whether employers may sue the organization for reimbursement of costs incurred by alleged overpayment of claims or failure to pay claims.While the published portion of the 2nd District Court of Appeal's recent decision in Bi-Coastal Payroll Services, et al. v. CIGA addressed the issue of the timeliness of the plaintiffs' appeal, the unpublished portion of the decision stated that CIGA could not be sued for torts, pursuant t...

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