Why One Man’s Lies Cost a Business $1.96 Million in Insurance: Understanding the Innocent Insured Doctrine
Property Insurance Coverage Law
JULY 30, 2025
A decision last week reinforces a harsh reality for policyholders who conduct business through corporations or limited liability companies: if the person or officer controlling the company commits fraud in the course of an insurance claim, the insurer can usually deny coverage not just to that wrongdoer, but to the entire business.
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