(The Center Square) – Spokane could be on the hook for paying more than $30 million in claims after its insurer recently asked a federal court to declare that it has no duty to defend or indemnify the city.
The Insurance Company of the State of Pennsylvania filed a lawsuit in the U.S. District Court for the Eastern District of Washington on Aug. 28. ICSOP issued Spokane special excess liability policies in the early 2000s, but now claims that several underlying provisions exclude the city from that coverage.
The dispute arises from lawsuits that Spokane faces regarding its water surcharges outside city limits…