Vol. January Issue A Right to Intervene but Nothing More
Deny, Delay, and Defend is a common theme around the insurance industry and is often cited to explain an insurer’s reluctance to pay claims. Books have been written on the...
Read MoreBad Faith Update
Vol. December Issue No Definitive Settlement Terms, No Bad Faith
Most, but not all, extra-contractual cases involve an insurer failing to accept an offer that would have protected an insured from an excess judgment. Frequently, the insurer will raise some challenge to the offer made by the claimant. T...
Read MoreVol. October Issue Buffet Of Bad Faith Issues
Standards for extra-contractual recovery vary from state to state to some extent. While the standard for recovery may differ, evidentiary, discovery and interpretation issues overlap and arise in many bad faith cases regardles...
Read MoreVol. September Issue Retained Counsel Beware Insurer Tactics to Recover Excess Payments
Most jurisdictions, at least in theory, permit insureds to recover extra-contractual payments/judgments from their insurers under bad faith or negligence theories. Jurisdictions are less uniform on whether or under what theories an insur...
Read MoreVol. August Issue Written Settlement Demand Not Necessary
With increasing frequency, insurers are challenging the sufficiency and clarity of settlement demands they failed to previously accept. The insurer’s challenges can take many forms but most focus on a demand not being writte...
Read MoreVol. July Issue Carrier’s Failures Create Coverage
Insurance laws may vary slightly between jurisdictions but major principles are nearly uniform. These include requirements that an insurer should draft clear and unambiguous exclusions and should identify and fully inform the insured of...
Read MoreVol. June Issue Interpleader Insufficient to Erase Extra-Contractual Exposure
In states that haven’t passed safe harbor legislation, multiple claimants and insufficient limit claims pose certain challenges to insurers in the claims handling stage. Numerous claimants competing for severely limited polic...
Read MoreVol. May Issue No Direct Interest, No Intervention
Over the past five plus years, the Missouri legislature has continued to grant insurer’s new rights and protections. This includes requirements for time-limited demands, interpleader protections and the ability to intervene into ce...
Read MoreVol. April Issue No “Claim”, No Coverage
Claims Made and Reported policies are their own animal. Proper reporting of claims is vital to ensure coverage for any loss. Knowing what constitutes a "claim" that must be reported and when and how to report the claim can be challenging...
Read MoreVol. March Issue Obligations Extend Beyond Accepting Settlement Proposal
The vast majority of extra-contractual/bad faith cases involve a carrier’s failure to secure a release of an insured by accepting a reasonable settlement opportunity within the policy limits. The absence of a reasonable settlement ...
Read MoreVol. February Issue Covenant Not To Execute Does NOT Preclude Damages
Following a coverage denial, many jurisdictions permit insureds and claimants to enter into covenants not to execute and to enforce a resulting judgment against the insurer if coverage is shown to exist. Insurers often argue that the ins...
Read MoreVol. January Issue Unique Supplemental Payments Provision Leads to Supplemental Payday
Supplemental Payments provisions are present in almost every liability policy. These provisions generally detail the insurer’s responsibility for interest and costs awarded in suits that it has undertaken to defend. Litigation surr...
Read MoreVol. December Issue No Request for Defense, No Coverage Problem
With very limited exceptions, liability policies provide insureds with two primary benefits: a defense paid for by the insurance carrier and indemnity for covered claims. These benefits to the insured are purchased with premium ...
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