Mass. Court Affirms Dismissal of Asbestos-Related Insurance Action, Applies Pro Rata Allocation

BOSTON –– A Massachusetts appellate court has affirmed the dismissal of a coverage action involving asbestos claims, finding the insurers were within their rights to apply pro rata allocation to defense and indemnity payments.

On May 22, the Massachusetts Court of Appeal found application of the pro rata time-on-the-risk allocation method adopted by the state’s high court in Boston Gas Co. v. Century Indem. Co. (454 Mass. 337, 2009) was appropriate in the instant proceedings.

New England Insulation Co. filed the action, noting that it had been named as a defendant in a number of asbestos-related lawsuits for alleged exposures …