United States Fidelity and Guaranty Company, Respondent v. William G. Copfer

Summary

The Court of Appeals affirmed the Appellate Division's summary judgment granting the insurer's defense, holding that the insurer breached its duty to defend and indemnify, is liable for the insured's defense costs and may have to reimburse judgment up to policy limits, but rejected the insured's claim for bad‑faith damages. Justice Meyer dissented, arguing that the insurer’s knowledge of a possible settlement created a genuine issue of fact on bad‑faith liability.