Does Insurance Cover Attorneys' Fees in a Class Action?

The resolution of a class action almost always involves an award of attorneys' fees to plaintiffs' counsel, as part of the overall settlement or based on a separate hearng. But insurance companies often resist paying these awards. They contend that the awards constitute penalties or do not constitute insured compensatory damages. They also sometimes contend that the awards are not covered because they are derivative of uncovered claims.

16 minute read August 31, 2005 at 02:22 PM

Kirk A. Pasich

[Editor's Note: I've excerpted this article from Kirk Pasich's more detailed treatment in the August 2005 edition of our sibling newsletter, The Insurance Coverage Law Bulletin. Note also that this article specifically approaches the subject from the plaintiffs' point of view.]

This premium content is locked for Accounting and Financial Planning for Law Firms subscribers only

ENJOY UNLIMITED ACCESS TO THE SINGLE SOURCE OF OBJECTIVE LEGAL ANALYSIS, PRACTICAL INSIGHTS, AND NEWS IN Accounting and Financial Planning for Law Firms

Stay current on the latest information, rulings, regulations, and trends

Includes practical, must-have information on copyrights, royalties, AI, and more

Tap into expert guidance from top entertainment lawyers and experts

Already have an account? Sign In Now

For enterprise-wide or corporate access, please contact Customer Service at [email protected] or call 1-877-256-2473.

Real Property Law

Adverse Possessor Provided Insufficient Evidence to Support TackingTown’s Installation of Guardrails Did Not Constitute a TakingMortgagee Entitled to Deficiency JudgmentLandowner Adequately Alleged Trespass During Renovation

August 13, 2026

Entrepreneurship Is Already Hard: Rising Above Extraordinary Personal Crises to Build an Award-Winning Professional Reputation

Entrepreneurship. It has such a romantic ring, doesn’t it? When we hear the word, we think of incredibly successful people who must lead a charmed life. But the truth of the matter is often far from that. Just ask Melissa Rogozinski whose recent book, Becoming Phoenix, tells a much different story.

August 01, 2026

Applying the Zero Trust Model to Manage Risks of Agentic AI

Agentic AI introduces risks that are novel and complex, but the most effective response is a familiar one. Zero Trust answers the problem of when an AI agent misfires on its own by constraining what an agent can do rather than betting on how it will behave.

August 01, 2026

California’s AI Transparency Stack: From State Obligation to Adoption Strategy

California is betting that it can accelerate AI adoption by acting as a demanding, trusted buyer, and that the governance evidence it extracts through procurement can become infrastructure the rest of the market reuses.

August 01, 2026

Does Insurance Cover Attorneys' Fees in a Class Action?

This premium content is locked for Accounting and Financial Planning for Law Firms subscribers only

Continue Reading

Real Property Law

Entrepreneurship Is Already Hard: Rising Above Extraordinary Personal Crises to Build an Award-Winning Professional Reputation

Applying the Zero Trust Model to Manage Risks of Agentic AI

California’s AI Transparency Stack: From State Obligation to Adoption Strategy