Asbestos Defendant's Two-Week Policy Extension Does Not Reduce Aggregate Limits, Court Rules

TRENTON, N.J. - A state appellate court in New Jersey has ruled that the extension of an excess insurance policy for a period less than that of the original agreement does not create an additional, reduced set of aggregate limits for the coverage of asbestos-related claims. United States Mineral Products Co. v. American Insurance Co., et al., No. A-5097-00T3 (N.J. Super., App. Div.).

In a decision issued March 7, the Superior Court of New Jersey, Appellate Division, agreed with the insured in determining that the payment of a prorated premium to cover the extended policy reflects only the insurer's reduced …