General liability policies and intentional acts

General liability policies that insure businesses have many exclusions in the contract. One of those exclusions that has recently been talked about in the media is "intentional acts". The recent Freeh report regarding the Penn State sexual abuse scandal, brought to light the intentional cover up by the administration during the time the abuse was occurring. Now the question is will Penn State's liability policy cover the lawsuits that are being brought against the school? The insurance company that covers the school says no, citing the exclusion of "intentional acts . This is certainly going to cause a legal battle between two big institutions ,  that will surely set the precedent on how general liability policies will respond in the future. Until next time be careful out there and know your risks.
G. Kevin Nemith.  President CNC Insurance Assoc. business insurance and small business insurance specialists. Risk Management Consultant serving Delaware, Maryland, Pennsylvania, and New Jersey.

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