Lloyd's sues US Archdiocese amid sex abuse claims

Underwriters file federal lawsuit against its client

Lloyd's sues US Archdiocese amid sex abuse claims

Insurance News

By Lyle Adriano

Underwriters associated with Lloyd’s of London have filed a lawsuit against the archdiocese of Indianapolis, alleging that the group failed to disclose that one of its Catholic priests was facing child sex abuse allegations around the time the archdiocese was applying for liability insurance.

The federal lawsuit filed earlier this week claimed that the archdiocese had applied for excess sexual misconduct liability insurance in June 2019, but did not reveal the abuse allegations lodged against Rev. David J. Marcotte months before the application.

Marcotte was arrested in 2019 on charges that he sexually abused a child in 2017 and in 2018. The archdiocese previously said that it learned of the allegations in early February 2019, when the group suspended the priest.

Lloyd’s lawsuit stated that the father of the victim had notified an archdiocese victim assistance coordinator that he intended to sue on February 13, 2020. Months after the father made known his intention to sue, the archdiocese applied for an insurance policy.

During the application process for the insurance, the archdiocese was questioned whether it knew of any “facts, circumstances, or allegations that may result in claims being made against you,” and the archdiocese answered “no,” Lloyd’s alleged.

Indianapolis Star reported that Lloyd’s has asked a judge to rescind the insurance policy and render it void.

In an email statement to the Associated Press, archdiocese spokesperson Mike Krokos said that the group has not yet been served the lawsuit.

“Therefore, we cannot respond until we have the opportunity to thoroughly examine the lawsuit,” the spokesperson said.

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