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NJM. INS. CO. v. NATIONAL CASUALTY CO.

No. A-0737-09T3

992 A.2d 837 (2010)

413 N.J. Super. 94

NEW JERSEY MANUFACTURERS INSURANCE COMPANY, Plaintiff-Respondent, v. NATIONAL CASUALTY COMPANY, Defendant-Appellant.

Superior Court of New Jersey, Appellate Division.

Decided April 29, 2010.

Attorney(s) appearing for the Case

Allan Maitlin, West Orange, argued the cause for appellant (Sachs, Maitlin, Fleming & Greene, attorneys; Mr. Maitlin, of counsel and on the briefs; Christopher Klabonski, on the briefs).

Loren L. Pierce, Morristown, argued the cause for respondent (McElroy, Deutsch, Mulvaney & Carpenter, attorneys; Ms. Pierce, of counsel; Lisbeth W. Cload, on the brief).

Before Judges SKILLMAN, FUENTES and GILROY.

The opinion of the court was delivered by

SKILLMAN, P.J.A.D.

This appeal requires us to consider the circumstances under which a primary insurer may be held liable to an excess insurer for prejudgment interest awarded to the plaintiff in an underlying tort action based on the primary insurer's alleged failure to engage in good faith settlement negotiations.

In the early morning hours of February 16, 1998, an employee of Grinnell Haulers sideswiped...

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