Intermountain Gas Co. v. Industrial Indemnity Co.

SUBSTITUTE OPINION

The Court’s prior opinion dated November 9, 1993, is hereby withdrawn.

WALTERS, Chief Judge.

This appeal addresses an insurer’s obligation to defend and indemnify an insured under a policy covering negligent acts performed in the insured’s administration of its employee benefit programs. The insured, Intermountain Gas Company (Intermountain), was sued by an employee, Armida Met-calf, who alleged that employees of Inter-mountain had demoted her to deprive her of employee benefits because of her use of sick leave. Industrial Indemnity Company (Industrial), Intermountain’s…