Scottsdale Indemnity has filed a declaratory judgment suit in the U.S. District Court for the Northern District of Illinois after an Illinois-based real-estate services firm, Weiss Entities LLC, suffered a data breach exposing client names, Social Security numbers and other personally identifiable information. The breach prompted a proposed class action, initiated under Illinois state law, accusing Weiss of failing to safeguard customer data.In its complaint filed July 18, Scottsdale argues that Weiss’s policy explicitly excludes coverage for claims tied to “professional services” and “bodily injury/property damage.” The lawyers for Scottsdale argue that it has no duty to defend or indemnify Weiss in either the state-led class action or any related damages.
For real-estate companies, the implications are clear: a standard liability policy, even one marketing cyber protections, can still leave your firm legally exposed if its language excludes coverage for key claim types...
RSK: Seriously, check your insurance coverage to make sure you are covered...
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- - Volume: 25 - WEEK: 31 Date: 7/29/2025 1:34:01 PM -