Home Insurance v. Superior Court

In this action by an insured against its primary and excess liability insurers to determine coverage with regard to dozens of underlying environmental contamination claims, all but three of the insurers have settled with the insured. When a nonsettling excess insurer requested information about the settlements, the trial court agreed that the information was discoverable but refused to order disclosure until after the nonsettling excess carrier’s coverage obligation is determined at trial. The nonsettling excess carrier asked us to intervene, contending that its coverage obligation would never be triggered if the insured’s claims were satisfied without exhaustion of other insurance or if the insured’s claims were paid in full by the settlements with the other carriers. We stayed the trial and issued an alternative writ, and now issue a peremptory writ.

Background

In 1992, Atlantic Richfield Company and ARCO Chemical Company (collectively ARCO) filed a second amended complaint against The Home Insurance Company, City Insurance Company (collectively Home) and 32 other insurance companies, seeking declaratory relief and damages for breach of contract and breach of the…