Great American Insurance Filed Lawsuit Against Beis and Pattern

The insurer seeks to avoid covering six class action lawsuits involving allegations of deceptive marketing emails.

Updated on Sept. 29, 2026 in Advertising

Isometric editorial illustration of a heavy industrial lock securing a thick corporate document volume, symbolizing insurance coverage policy exclusions. — Great American Insurance has filed a lawsuit in California seeking to avoid defending Beis and Pattern Beauty in six deceptive marketing class actions. AI Illustration. Upload story photo >

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Should insurance companies be required to cover legal costs for deceptive marketing practices?

Great American Insurance Company filed a lawsuit on September 28, 2026, in the Central District of California, seeking a declaration that it has no duty to defend Beis LLC and Pattern Beauty LLC in six pending class actions. The insurer argues that the companies' marketing emails, which allegedly used urgent-sounding subject lines, are not covered under their existing policies.

Why it matters

The insurer contends that intentional marketing practices fall outside the specific advertising injury provisions of the policies, which it argues cover only accidental occurrences. By filing this action, the company also seeks to recover defense costs already paid to the brands under a reservation of rights.

The primary insurance policies carry a $1 million limit for personal and advertising injuries with a $2 million general aggregate limit, while five excess policies provide an additional $8 million in coverage.

The players

Great American Insurance Company

This is an insurance provider currently seeking to avoid legal defense obligations in multiple class action lawsuits.

Beis LLC

This is a brand currently facing class action litigation regarding its marketing email subject lines.

Pattern Beauty LLC

This is a company named as a defendant in six class action lawsuits alongside Beis LLC.

The details

The underlying class action lawsuits, filed in Washington, Indiana, and Maryland, allege that the companies sent deceptive emails causing frustration and panic among recipients. Great American asserts that policy exclusions for unfair competition and information distribution violations explicitly bar coverage for the statutory claims brought against the brands.

July 2021 marked the beginning of the five insurance policy periods.
November 2025 is when Beis sent a marketing email cited in the class actions.
September 28, 2026, is when the complaint was filed in California court.
November 2026 serves as the end of the fifth insurance policy period.

Market Landscape

This litigation highlights a broader trend where insurers are aggressively challenging their duty to defend brands against digital marketing claims. It reflects an ongoing industry push to tighten the definition of accidental occurrences versus intentional business practices.

The outcome of this lawsuit could influence how consumer brands approach their marketing communications and email subject lines to avoid litigation risks. Customers may see changes in brand communication strategies as companies react to the scrutiny regarding deceptive digital practices.

The takeaway

This case underscores the importance of aligning marketing communications with the specific coverage parameters of corporate liability insurance. Businesses should regularly review their advertising practices to ensure they do not inadvertently trigger exclusions in their insurance policies.