Bordeaux, Inc. v. American Safety Insurance

¶1

This case concerns the nature of “self-insured retention” (SIR) provisions in the commercial general liability policies American Safety Insurance Company issued to condominium developers Bordeaux, Inc., and Cameray, Inc. Because the SIRs were not “insurance” in any traditional sense, the trial court properly ruled that they were not primary insurance for purposes of subrogation and the developers were entitled to be made whole before American Safety could recover funds from third-party settlements. Also, because an insurer is not entitled to apportion defense costs between two policies…