Can an insured who has been "cast in a defensive posture by the legal steps an insurer takes in an effort to free itself from its policy obligations" recover attorney fees and expenses incurred in defending against the insurer?
"New York", United States of America
The following excerpt is from Burlington Ins. Co. v. Nyc Transit Auth., 29 N.Y.3d 313, 57 N.Y.S.3d 85, 79 N.E.3d 477 (N.Y. 2017):
3 Under that rule, an insured "cast in a defensive posture by the legal steps an insurer takes in an effort to free itself from its policy obligations" may recover attorneys' fees and expenses incurred in defending against the insurer's "affirmative action ... to settle its rights" where the insured prevails in that action (Mighty Midgets v. Centennial Ins. Co., 47 N.Y.2d 12, 21, 416 N.Y.S.2d 559, 389 N.E.2d 1080 [1979] ).
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