Iowa National Mutual Insurance v. Universal Underwriters Insurance

Murphy, Justice.

This is an appeal from a judgment of the district court allowing Iowa National Mutual Insurance Company recovery against Universal Underwriters Insurance Company for expenses of investigation and attorneys’ fees in connection with an asserted defense in a personal injury action in which the two companies had overlapping coverage.

Stated broadly, the controlling issue is whether expenses incurred by an “excess carrier” from the time it tendered defense until the “primary carrier” accepts the defense are recoverable where there is a bona fide dispute as to the nature and extent…