In a major setback for insurer Nationwide, a federal judge in Philadelphia refused to declare that allowing insurance coverage for the funeral home directors involved in a body-parts-for-cash scheme would violate public policy. U.S. District Judge Michael M. Baylson also rejected the argument that guilty pleas by the participants had conclusively proven that all of the conduct was intentional and therefore could not be treated as negligent conduct that triggers insurance coverage.
September 28, 2009 at 12:00 AM
1 minute read
The original version of this story was published on Law.Com
A body-parts-for-cash scandal that sent three Philadelphia funeral directors to prison last year has sparked a wave of litigation in the state and federal courts, and a recent decision on insurance coverage promises to keep the cases alive.
In a major setback for the insurer, U.S. District Judge Michael M. Baylson refused to declare that allowing insurance coverage for the participants in the scheme would violate public policy.
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