Declaration sought to determine the insurance issues and appropriate relief. Courts have traditionally held that an insurance company has no right to intervene in the liability action against the insured to seek a coverage determination.Lighthouse Casualty was relying on. Cooks' testimony of what occurred as its basis for denying Rush and Ross's insurance claim. The issues will be decided in the declaratory judgment part of the case. Columbia is in the business of providing and underwriting insurance. Declaratory judgment actions to resolve insurance coverage issues. Declaratory judgments are frequently sought in the insurance context, either before or after a claim has been denied. (Insignia), in connection with an underlying tort case filed in the circuit court of Cook County.