Appeals Court Rules Insurance Company Must Cover Bill Cosby's Legal Costs

Jun 8, 2018

A federal appeals court in Massachusetts has ruled an insurance company must pay to defend Bill Cosby against a defamation lawsuit.

Cosby said that two insurance policies he and his wife had on a property they own in Shelburne Falls should cover legal expenses he incurred defending against allegations of defamation.

Judge Mark Mastroianni, who sits on the federal district court in Springfield, agreed in 2016 and ordered AIG to pay Cosby $675,000.

The company appealed, saying there was an exclusion for defense costs related to sexual misconduct.

But the appeals court ruled the policies were worded too ambiguously, and AIG must pay up.

A spokesperson for the insurance company declined to comment.