Baird sues Chubb over $5m cyber fraud loss
Robert W. Baird filed a lawsuit against Chubb after the insurer refused to cover half of a 5.1 million dollar loss from email fraud. Hackers broke into a township supervisor’s account and sent fake wire instructions that tricked Baird into sending 29 million dollars to criminals on Nov. 21, 2024. The financial firm recovered most of the money but remained short by more than 5 million dollars.
AIG paid its 2.5 million dollar policy limit under fraud coverage, while Chubb denied the excess claim. The insurer said White Lake Township was not a vendor that supplied goods or services to Baird. The Milwaukee company argues financial instruments count as goods and asked a Wisconsin federal judge to force Chubb to pay the remaining 2.5 million dollars plus damages for bad faith denial.
