Insurers Can Now Obtain Confidential Information About NFL's Prior Knowledge of Concussions

NY appellate court denies NFL's motion to halt discovery in insurance coverage dispute over concussion settlement: pic.twitter.com/Yu39CzxRV4
— Daniel Wallach (@WALLACHLEGAL) December 30, 2016

The NFL was dealt a significant blow in their legal battle with their insurers today.

After the league came to what is expected to be a $756 million uncapped settlement with thousands of retired players in 2013, they have looked to essentially pass off that cost onto the insurance companies. But, for obvious reasons, the insurance companies didn't like that, and filed suit.

The insurers must pay the NFL only if the injuries to the players were both unexpected and unintended. But insurers claim that they should not be required to pay when the injuries and damages are both 'expected and intended' consequences. Obviously, what the NFL knew and when they knew it is central to this distinction.

The insurers, including Travelers Cos. and Markel Corp.'s Alterra America Insurance Co., have attempted to obtain league documents pertaining to the its prior knowledge of the effects of concussions, but have been thwarted by the NFL's various motions to prevent discovery, or access to this information. Today, the NFL's motion to prevent discovery was denied, which could prove to be a watershed moment in the NFL's case with its insurers.

Many are predicting that this is enough to cause the NFL to settle with the insurers:

This is a significant ruling - I anticipate a tremendous effort on the part of the NFL to settle - I imagine insurers hope that's the case. https://t.co/VJOVbgcHNL
— Amy Trask (@AmyTrask) December 30, 2016

It's unclear if the NFL will seek out any other motions to delay discovery, but the release of confidential information just may be vindicating for players who have been seeking reparations for the long-lasting, deleterious damages that the game has had on them.