Compliance » Insurance Issues Around Dobbs

Insurance Issues Around Dobbs


August 18, 2022

Following Dobbs, the Supreme Court’s anti-abortion ruling, many companies are offering benefits to employees who cross state lines to get an abortion. That raises issues which potentially implicate corporate liability insurance. Some states are threatening civil and criminal penalties on companies that provide such benefits. The Reed Smith firm poses several unanswered questions for risk managers and legal counselors to consider.  Among these, will any of the liabilities, including defense costs, be covered? If lawsuits assert claims arising from alleged harm to a fetus, would those claims trigger coverage for liabilities arising from bodily injuries? If laws are passed banning companies from doing business in a state for providing benefits that facilitate abortion services, will that prompt shareholder lawsuits or suits from interested parties who depend on the company’s services?

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