Two builders are suing AIG, claiming it wrongly denied them coverage after a cement truck injured a worker on a Texas job site.
Sundt/Kiewit, a joint venture known as SKJV, sued American International Group and National Union Fire Insurance Company of Pittsburgh, Pa. in federal court in the Southern District of Texas on June 15, 2026. SKJV says the carriers wrongly denied it coverage as an additional insured, according to the complaint.
The backdrop: SKJV was building the Blue Sky Water Reclamation Facility in Taylor, Texas, and hired Tex Mix Partners, doing business as Tex-Mix Concrete, to supply grout. The filing says SKJV required Tex-Mix to carry commercial auto coverage and to name SKJV as an additional insured - covered under Tex-Mix's own policy.
Then the accident. On or about November 8, 2022, a worker named Robert Searles was hurt operating a skid steer. The complaint says a reversing Tex-Mix cement truck, allegedly driven by a Tex-Mix employee, caused the injury. Searles later sued Tex-Mix, SKJV and others in a separate case the complaint calls the "Underlying Action." Searles is not a party to this insurance suit; he is the injured worker in that other case.
The dispute is all about timing and paperwork. SKJV says it had a "Verbal Agreement" with Tex-Mix - in place before the accident - that already required additional-insured coverage. That deal was later written into a Purchase Agreement signed on December 5, 2022, the filing says, with a certificate of insurance naming SKJV following on December 8, 2022.
The policy wording is the heart of it. SKJV points to an endorsement, form number 87950 (9/14), extending insured status to anyone the named insured "become[s] obligated to include as an additional insured" under "any contract or agreement." The complaint says the policy "does not define 'contract' or 'agreement'" - so, SKJV argues, a verbal deal should count.
SKJV asked the carriers to defend and indemnify it on June 18, 2024, and updated that request on December 9, 2024. The complaint says they denied coverage, and alleges the carriers breached the policy by refusing a defense for a claim that "clearly fell within the possibility of coverage."
SKJV brings two claims - declaratory judgment and breach of contract - and seeks relief of "at least $2,000,000.00," plus attorneys' fees and costs.
For claims professionals, this is a classic additional-insured timing fight. The carriers' exposure may hinge on whether an unwritten understanding counts as a "contract or agreement" under an endorsement that never defines either term - and on a primary-coverage endorsement, form number 74445 (10/99), keyed to whether an agreement was "executed prior to the date of accident."
These are allegations only, untested in court. AIG and National Union have not yet responded, and no court has ruled on whether coverage is owed.
