How Homeowners Insurance is Saving Bill Cosby Money

#blessed- How Homeowners Insurance is saving Bill Cosby Money (2)

Bill Cosby has had a rough year and a half. His legacy, as a world-class comedian, came crashing down after 57 women have come to the forefront, alleging that Cosby sexually assaulted and defamed them.

Cosby is mostly known for starring in his own sitcom, which ran from 1984-1992.

At this point, you’re probably wondering what this has to do with insurance. Welp, Cosby is turning to an Umbrella Insurance policy, which is tied to his Homeowners Insurance policy, to help cover his legal defense costs as he faces 10 of the 57 women who claimed damages against him.

Now, we know what you’re thinking. How is that even possible? Great question. The best way to answer this question is explaining that, despite popular belief, celebrities are not just like us.

As you know, most Homeowners Insurance will only cover bodily injury, but celebrities and individuals with a certain status are also able to get it to cover cases of personal injury. For this reason, Cosby’s Homeowners Insurance (AIG), covers him for personal injury. Personal injury being an injury to one’s emotions and mind or in this case, defamation.

AIG has largely fought against covering Cosby’s legal fees, stating that they should not have to pay for claims that arose from sexual misconduct. They argue that sexual misconduct is an exclusion of their coverage. Fight though they might, AIG has already lost a case against Cosby in California. The judge’s ruling was in favor of Cosby because the suits are mostly against defamation and not sexual misconduct specifically.

This isn’t the first time we’ve seen a well-known public figure use their personal injury coverage to pay for their legal costs. Bill Clinton also used his to cover his legal costs, after Paula Jones sued him for defamation and sexual harassment.

We’ll have to see how it all plays out, but so far Cosby is #winning and AIG is stuck footing the bill.





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