As the new millennium approaches, many companies are attempting to prevent future losses that may be caused by the Year 2000 computer problem. They are endeavoring to do this by remediating their at-risk computer systems. The best-case scenario for these companies, and their insurers, is to avoid Y2K losses entirely by successfully remediating these potential problems in advance.

However, companies and their insurers must also be prepared for the possibility that Y2K glitches will result in losses. In the event that these losses occur, insured companies will likely seek various types of coverage from their insurers. In the event that these claims result in litigation, an important issue will be the requirement of fortuity. This article examines the current state of the fortuity requirement, as determined by American courts, and the extent to which insurers may be able to defend on this ground in the course of Y2K insurance litigation.

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