Lieberman v. Employers Ins. of Wausau

The opinion of the Court was delivered by

*329HANDLER, J.

The present appeal arises out of the settlement of a medical malpractice action which had been brought against plaintiff, a neurosurgeon, by a former patient for injuries allegedly resulting from a negligently-performed arteriogram. The neurosurgeon’s professional liability insurer retained and assigned outside counsel to defend its insured against that medical malpractice claim. Contrary to the physician’s express wishes, the liability insurer eventually settled the medical malpractice suit. As a consequence of that settlement, the annual…