Hartford unit doesn’t have to defend workplace injury lawsuit

The New Jersey Supreme Court ruled Thursday that Hartford Underwriters Insurance Co. is not obligated to defend against a negligence lawsuit filed by a worker who was injured on the job.

Dionicio Rodriguez was injured while working for SIR Electric LLC. After filing for workers compensation benefits, he sued SIR and nine other business owners, including Shelbourne Spring LLC, alleging negligence, gross negligence, recklessness and intentional wrongdoing, according to Dionicio Rodriguez v. Shelbourne Spring LLC.

Hartford Underwriters, SIR’s insurer, argued it did not have an obligation to provide a defense due to policy language that excluded intentional harm claims. SIR filed a third-party complaint against the Hartford Financial Services Group Inc. unit claiming it wrongfully disclaimed defense coverage.

A trial judge granted Hartford Underwriters’ motion to dismiss SIR’s complaint, concluding that the policy expressly excluded intent-based claims. SIR moved for reconsideration and filed a motion to amend its third-party complaint, contending for the first time that the policy’s enhanced intentional injury exclusion violated public policy.

The judge denied both motions and the state’s Appellate Division affirmed.

The New Jersey Supreme Court affirmed the decision, writing that “allegations of simple negligence, gross negligence, and recklessness (the negligence-based claims), which are subject to the workers compensation exclusivity bar, are not covered under Part One of the insurance policy and are excluded from coverage under Part Two of the policy. Additionally, the employee’s allegations of intentional wrongdoing are excluded under the policy.”