CO-EMPLOYEE EXCLUSION APPLIES TO EXECUTIVE OFFICERS

In Savoie v. Enco Insulations, Inc., 322 S.3d 1264 (La. App. 1^st Cir. 4/9/21), the Court found that a CGL policy issued to an engineering corporation excluded coverage for executive officers for claims arising from a former employee’s lung cancer that developed after his alleged exposure to asbestos.  The Court found that the CGL policy plainly excluded coverage for the executive officers pursuant to the co-employee exclusions in the policy.  In finding no coverage, the appellate court rejected plaintiff’s assertion that because employees and executive officers were listed separately in a section that defined “insured,” the reference to “employee” in the co-employee exclusion applied only to employees, and not executive officers.  Nevertheless, the court found that because executive officers were among those defined as insured, they were also considered employees of the corporation, the co-employee exclusion applied.