Fifth Circuit Holds under Texas Law That Scope of Coverage for Additional Insured Is Determined Solely By Terms of Policy, Not By Contract Creating Additional Insured Status

The U.S. Fifth Circuit Court of Appeals, applying Texas law, held that when a named insured agrees to indemnify and secure insurance for an additional insured, the terms of the policy—not the indemnity agreement—determines the insurers’ coverage obligations. In re Deepwater...