The defendant insurer brought a motion for summary judgment to dismiss the plaintiff's action for insurance coverage and bad faith.
The plaintiff had suffered a cybersecurity breach resulting in fraudulent long-distance calls, and voluntarily reimbursed its customers and paid its vendors before submitting a claim under its Tech Insure Policy.
The court granted summary judgment, finding no coverage under the policy's insuring agreements, that the contractual liability exclusion applied, and that the plaintiff breached the voluntary payments clause.
The bad faith claim was also dismissed as the insurer's denial was based on a reasonable interpretation of the policy.
