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An insurance company is obligated to pay a nearly $1.2 million wrongful death settlement after the New Jersey Supreme Court ruled that it can’t compel a municipal joint insurance fund to contribute. The case is Statewide Ins. Fund v. Star Ins. Co., 2023 N.J. LEXIS 205 (N.J. 2023).

An insurance policy with Star Insurance Co. provides coverage to Long Branch after other insurance coverage is exhausted, but the liability protection provided by the city’s membership in Statewide Insurance Fund is self-insurance, which does not trigger that clause in the Star policy, the New Jersey Supreme Court ruled.

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