Insurance Business Magazine | By Kenneth Araullo | Feb 11, 2025
Filing accuses insurer of a pattern of rejecting claims
The Diocese of Trenton has filed a lawsuit against Chubb and its subsidiaries, along with other insurance providers, alleging that they have refused to pay claims related to sexual abuse cases brought under the New Jersey Child Victims Act.
The lawsuit claims the insurers have declined coverage for claims filed against the Diocese, adding to ongoing legal disputes over coverage obligations in similar cases.
According to the filing, Chubb is alleged to have taken similar positions in other cases across the country, including those involving the Archdiocese of New York, the Archdiocese of San Francisco, Rockefeller University Hospital, and the Los Angeles Unified School District.
The Diocese of Trenton’s lawsuit also argues that the company’s approach follows a broader pattern of denying coverage for child sexual abuse claims.
In October, New York’s Archdiocese moved ahead with its own lawsuit, accusing the giant insurer of violating New York’s general business law by denying coverage for sexual abuse claims.
Cardinal Timothy Dolan, of New York, said that despite the archdiocese having paid over $2 billion in premiums to Chubb over the years, the insurer is attempting to evade its legal and contractual obligations.
“It has always been our wish to expeditiously settle all meritorious claims,” the cardinal said.
Diocese of Trenton versus Chubb
In response to the legal action, the Coalition for Just and Compassionate Compensation (CJCC), an organization representing survivors of child sexual abuse, issued a statement criticizing Chubb’s handling of such claims.
David Catalfamo, executive director of CJCC, lambasted Chubb, saying that it has consistently denied coverage, delayed restitution, and prolonged legal battles, leaving survivors without compensation.
“Just last month, their CEO bragged about 2024 being their ‘best year ever’, earning more than $9.27 billion in net income. Meanwhile, survivors are left waiting for the compensation they’re entitled to,” he said.
Insurance Business reached out to Chubb for comment and received the following response.
“Insurance covers accidents—not intentional, unconscionable, and knowing misconduct,” the statement read. “There’s a reason insurance doesn’t cover this kind of behavior—it would reward those who facilitate criminal conduct rather than those who take vigilant steps to protect children from abuse. Any attempt by an organization or its representatives – religious or otherwise – to shift blame from those who tolerated, concealed, and covered up rampant child sexual abuse for decades, despite having substantial financial resources to compensate their victims today, is simply reprehensible.”