A Closer Look At What Constitutes A Bad Faith Claim

Law360, New York (October 1, 2012, 1:12 PM EDT) -- Two recent opinions from federal courts further refine what is and is not bad faith on the part of insurers. Policyholders rely heavily on such claims in coverage litigation to not only get the insurer’s attention, but press for favorable settlements due to the risk of high jury awards if the bad faith claim gets that far in litigation. These two new opinions provide guidance for pursuing such claims.

The first case arises from a first party property loss under a homeowners policy issued by State...
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