Federal Insurance v. Scarsella Bros.

TANG, Circuit Judge:

Federal Insurance Company (“Federal”) appeals the decision of the district court granting and denying motions for summary judgment in an action for declaratory relief. Federal contends the district court erred in declaring that Federal was liable under an excess insurance policy to provide coverage in place of Integrity Insurance Company (“Integrity”), an insolvent underlying insurer. We affirm the district court, holding that when an insurer agrees to provide coverage in excess of underlying insurance that has been “exhausted,” and the term “exhausted” is not defined by…