Great American Insurance Co. v. State Farm Fire and Casualty Co.

Plaintiff insurance company filed a lawsuit against the defendant seeking to recoup defense costs in an underlying lawsuit, claiming that the defendant had the duty to defend. The district court concluded that the primary policy provided by the plaintiff’s assignor covered the underlying lawsuit and, as a result, the defendant did not have a duty to provide defense costs. The Seventh Circuit agreed and affirmed, explaining that based on the plain language of the insurance contract the defendant would pay defense costs only for losses not covered by any other insurance policy. (SYKES and RIPPLE, concurring)