This month’s Friday Five explores decisions regarding the timeliness of appeals, the support necessary to sustain an LTD termination decision, a court’s discretion to credit and discredit expert opinions, the circumstances...more
This month’s Friday Five discusses cases that focus on what information properly constitutes the administrative record before the court on which a decision must be based. One case explores the ERISA Records Rule which limits...more
On August 25, 2020, the Pennsylvania Supreme Court split 3-3, with one Justice recused, on an appeal from a trial court’s insurance bad faith decision imposing $18 million in punitive damages and $3 million in attorney’s fees...more
An insurer successfully defeated a plaintiff’s attempt to keep a bad faith action in state court by “manipulating” federal diversity jurisdiction by naming an individual claims adjuster as a defendant....more
Rejecting insurance bad faith claims based on an insurer’s handling of settlement discussions, the Georgia Supreme Court has ruled that "an insurer’s duty to settle arises only when the injured party presents a valid offer to...more
Mitchell v. State Farm Fire and Casualty Company, No. 3:17cv00170-M, 2018 WL 4572664 (N.D. Miss. Sept. 24, 2018) -
Lorine Mitchell submitted a claim to State Farm for damage to her property from a storm. Under the terms of...more
The Pennsylvania Superior Court recently held that a trial court’s decision to impose $18 million in punitive damages and $3 million in attorneys’ fees for violations of Pennsylvania’s Insurance Bad Faith Statute, 42 Pa....more
A federal judge in Arizona refused an insurer’s effort eight days before trial to supplement the underlying claim file in a bad faith litigation. The insurer sought to add approximately 60 pages of documents from the...more
Plaintiff Bernie Clemens was injured in a motor vehicle accident in August 2009. Clemens’ attorney helped him recover $25,000 in a supplementary underinsured motorist (SUM) claim, and then sued Clemens’ insurer under...more
The Texas Supreme Court has announced five rules which the Court believes will “provide clarity regarding the relationship between claims for an insurance policy breach and Insurance Code violations.” USAA Texas Lloyds Co. v....more
In Pennsylvania, an insurance bad faith claim requires an insured to show by clear and convincing evidence that the insurer 1) lacked a reasonable basis for denying benefits under the policy, and 2) knew or recklessly...more
Kennedy v. Allstate, No. 15-2221 (E.D. Pa. July 8, 2015).
District Court recognizes possibility that insurance adjusters owe a duty of care to insureds that would be breached by failing to conduct a reasonable...more
9/21/2015
/ Allstate ,
Appeals ,
Arbitration ,
Bad Faith ,
Car Accident ,
Chapter 11 ,
Commercial Bankruptcy ,
Denial of Insurance Coverage ,
Duty of Care ,
E&O Policies ,
Insurance Industry ,
Motorcycle Accidents ,
Negligence ,
PA Supreme Court ,
Punitive Damages ,
Summary Judgment ,
Travelers Property Casualty Co. ,
Unfair or Deceptive Trade Practices
Eighth Circuit: No Bad Faith Where Insured Failed to Make a Sufficient Demand and Insurer Refused to Entertain Settlement Offer Prior to Completing Investigation -
Purscell v. Tico Ins. Co., No. 13-2362, 2015 WL 3855253...more
8/13/2015
/ Allstate ,
Bad Faith ,
Breach of Contract ,
Car Accident ,
Claim Denial Letters ,
DUI ,
Insurance Industry ,
PA Supreme Court ,
Punitive Damages ,
State Farm ,
Wrongful Death
A federal district judge has ruled that Pennsylvania law may permit an insured to sue an insurer’s employee-adjusters for negligence and violations of Pennsylvania’s Unfair Trade Practices and Consumer Protection Law...more
In This Issue:
- En Banc Mississippi Court of Appeals Affirms Summary Judgment for Insurer, Adjuster and Employer on Bad Faith Claims Arising from Denial of Coverage and Benefits for Work-Related Injury
-...more
In This Issue:
- District of Colorado Sinks Insurer’s Motion for Summary Judgment on Bad Faith Claim Where Insurer Allegedly Failed To Timely Investigate Available Coverage for Boating Accident
- Eastern...more
In This Issue:
- Western District of Washington: Insured That Violated Duties of Notice and Cooperation Could Not Make Out Claim for Bad Faith Based on Insurer’s Lengthy Investigation
- Western District of...more
Two decisions from the New Jersey Supreme Court have affirmed that there can be no liability for bad faith in cases where an insurer’s actions in denying a claim are deemed "fairly debatable." While these decisions show a...more
In This Issue:
- District of South Carolina: No Support For Award of Punitive Damages Where Insured Failed To Prove Recklessness by Insurer
- Supreme Court of Missouri Reverses Grant of Summary Judgment for...more
On December 15, 2014, in the case of Allstate Prop. & Cas. Ins. Co. v. Wolfe, No. 39 MAP 2014, slip op. at 1 (Pa. Dec. 15, 2014), the Pennsylvania Supreme Court ruled that an insured may assign a statutory bad faith claim...more
In This Issue:
- Southern District of California Denies Motion to Dismiss Bad Faith Claim in Homeowners Policy Dispute
- Northern District of Indiana: No Bad Faith Where Insurer Has a Rational Basis for its...more
In This Issue:
- Southern District of New York: It is Unlawful for an Insurer to Withhold Payment When Some Portion on an Insured’s Entitlement is Undisputed
- Eastern District of Pennsylvania: State Farm...more
In This Issue:
- Court of Appeals of the State of Washington: Bad Faith Damages May Exceed the Amount of a Reasonable Covenant
- Southern District of Mississippi: Insurer Providing Coverage Opinion to Insured...more
In This Issue:
- Northern District of New York: Primary Insurer That Waited Nine Years to Tender Policy Limits to Injured Plaintiff Was Liable to Excess Carrier for Bad Faith
- Middle District of Pennsylvania:...more
CONTENTS
- United States Court of Appeals for the Fourth Circuit: An Absence of Ascertainable Damages Does Not Preclude an Award of Punitive Damages for Bad Faith pages 1 - 2
- Northern District of Alabama: Insurer...more