Duty To Defend The "Additional Insured"

In a recent Court of Appeal Decision of Carneiro v. Regional Municipality of Durham et al v. Zurich Insurance Company Ltd. 2015 ON CA 909, the Court of Appeal appears to have laid to rest any doubt in terms of an insurer's obligation to provide a defence to a Municipality, when the Municipality is named as an additional insured under a snow removal contractor's insurance policy.

In this case, involving a fatality claim flowing from a motor vehicle accident on an icy roadway, Miller Maintenance had the snowplowing contract with Durham.  The Municipality was named as an additional insured under Miller's liability policy with Zurich.  There were allegations against Durham contained in the Statement of Claim which could be covered under Miller's policy and other which would not.