R.I. Justice Finds Policy Exclusion Ambiguous, Refuses To Dismiss Insureds’ Claims

Mealey's (May 9, 2023, 4:57 PM EDT) -- PROVIDENCE, R.I. — A Rhode Island justice denied an insurer’s motion to dismiss insureds’ breach of contract and declaratory relief claims in its lawsuit seeking coverage under 2019 and 2020 Government Crime/Crime and Fidelity insurance policies, finding that a policy exclusion relied on by the insurer is ambiguous and that the insurer has failed to demonstrate that the insureds are not entitled to coverage “beyond a reasonable doubt” for their alleged more than $15 million loss of employment security benefits payments due to fraud....