Hartford Insurer Sues Tax Lien Companies Over Deed Sale Cases

A Hartford Insurance Group Inc. unit sued two Illinois tax lien companies, claiming it has no duty to defend or pay claims in proposed class actions that allege the companies kept excess proceeds from tax deed sales.

Hartford Underwriters Insurance Co.'s business liability policies don’t cover the claims because they don’t involve bodily injury, property damage, or personal advertising injury as defined in the policies, the insurer said in a complaint filed Dec. 5 in the US District Court for the Northern District of Illinois.

The underlying cases alleged Wheeler Financial Inc. and American Tax Lien LLC acquired properties through ...