Discovery Order Requiring Insurer to Produce Internal Reports ‘Overbroad,’ Texas High Court Rules

AUSTIN, Texas — The highest court in Texas has held that an insurer is not required to comply with policyholders’ request for production of internal management reports in multidistrict litigation concerning coverage for two 2012 hailstorms, holding that the request is overbroad.

On Oct. 28, the Texas Supreme Court granted National Lloyds motion for mandamus relief, directing the pretrial court to vacate the discovery order and reevaluate its order imposing sanctions of $15, 726 in attorney’s fees.

Plaintiffs own insurance policies with National Lloyds. Beginning in 2013, they began filing independent lawsuits against National Lloyds, claiming they were underpaid on …