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Insurance company says Matulis’ policy doesn’t cover claims

WEST VIRGINIA RECORD

Thursday, November 21, 2024

Insurance company says Matulis’ policy doesn’t cover claims

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CHARLESTON – Another lawsuit has been filed against Dr. Steven Matulis, this time by an insurance company, alleging that his policy with the company does not cover the alleges sexual assault lawsuits he is named in. 

Charleston Gastroenterology Associates was also named as a defendant in the suit.

West Virginia Mutual Insurance Company claims it has no obligation to defend nor indemnify Matulis or GGA with respect to certain civil actions against the defendants, according to a complaint filed May 30 in Kanawha Circuit Court.


Mutual claims the Extended Reporting Endorsement applies to medical incidents and does not extend the policy period or change the scope of coverage provided.

The policy provides that CGA does not have a separate limit of liability, but shares in the limits of liability of the insureds, according to the suit.

Mutual claims starting in March 2016, Matulis and/or CGA received notices from various claimants asserting claims arising from inappropriate conduct by Matulis during the performance of colonoscopies and some claims have resulted in civil actions being filed against Matulis and/or CGA, which do not fall within the scope of the policy’s coverage for multiple reasons.

The plaintiff owes neither a duty to defend nor to indemnify Matulis and/or CGA with respect to the civil actions, according to the suit.

Mutual claims it is anticipated that other civil actions may be filed and for which Mutual may owe no duty to defend nor indemnify as well.

Mutual is seeking the court to enter an order that Mutual is not obligated to defend nor indemnify the defendants, as well was compensatory and punitive damages. It is being represented by Jeffrey M. Wakefield of Flaherty Sensabaugh Bonasso PLLC.

Earlier this year, another insurance company, Westfield Insurance Company, filed sued against Matulis and CGA in federal court.

That lawsuit alleged that the defendants’ policies do not cover sexual assault.

There have been nearly a dozen lawsuits filed against Matulis and CGA for alleged sexual assault by Matulis on patients while they were under anesthesia getting colonoscopies and other procedures done.

Charleston Area Medical Center revoked Matulis’ privileges at the hospital in 2016. In May, Matulis stopped his medical practice and voluntarily switched in license to practice to inactive.

The case is assigned to Circuit Judge Charles King.

Kanawha Circuit Court case number: 17-C-748

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