Strategies, Challenges, and Answers

Mills to Attend DRI’s Insurance Bad Faith and Extra-Contractual Liability Seminar

DRI will convene its Insurance Bad Faith and Extra-Contractual Liability Seminar at the Hyatt Regency in Boston, MA from May 31 to June 2, 2017. Mike Mills from Bauman Loewe Witt & Maxwell will attend. Presenters are scheduled to address many important and timely topics including: What Works for Policyholders in Bad Faith Cases and Why Maintaining Control When Faced With Third-Party Bad Faith Set-ups and Consent Judgments Ethical Dilemmas Faced by Defense Counsel When the … [Read more...]

A Tale of Two Lawsuits.

It was the best of times for Nevada Direct Insurance Company. It was the worst of times for injured parties Michael and Sharon Smith. You see, the Smiths were hurt in an auto accident with a Nevada Direct policyholder Kuperman. Nevada Direct tried unsuccessfully to enlist Kuperman's cooperation in dealing with the Smiths’ claim. When Kuperman failed to cooperate, Nevada Direct filed a declaratory relief action against Kuperman, the Smiths and another injured party, Ms. Fields claiming the … [Read more...]

Nevada’s Absolute Liability Statute Does Not Create A Third-Party Bad Faith Claim.

We have previously written about Saundra Torres.  She was hurt when she was involved in an auto accident with a vehicle that was insured by Nevada Direct Insurance Company. She filed suit against Nevada Direct’s insureds Perez-Castellano and Mollinedo-Cruz.  For a time, Nevada Direct defended.  But after the insureds failed to cooperate, Nevada Direct withdrew its defense and filed a declaratory relief action.  In the declaratory relief action, Torres refused Nevada Direct’s offer to settle … [Read more...]

Ambiguous State Farm UM Coverage Allows Wife To Recover For Separate Emotional Distress Caused By Witnessing Husband’s Death

Mrs. Brewington rode her motorcycle a little behind Mr. Brewington on State Highway 49 in California. An oncoming rider crossed the center line striking Mr. Brewington and ejecting him from his bike. Mrs. Brewington witnessed the collision, stopped and called for assistance. Mr. Brewington died on the way to the hospital with Mrs. Brewington by his side. The negligent rider had no liability insurance. However, the Brewingtons had UM coverage with their motorcycle carrier State Farm in the … [Read more...]

A Reasonable Defense Trumps Bad Faith Even With Multiple Policy Limit Demands And An Excess Verdict

Jesse Kalberer and Eileen Mediola were in a car accident. Ms. Mediola’s attorney sent a policy limit demand to Jesse’s auto carrier, American Family. American Family rejected the demand claiming that the injuries were pre-existing and that the medical bills were overstated. American Family warned Jesse of a possible excess verdict. Plaintiff even emailed American Family and asked the company to settle so as to not expose Jesse to an excess verdict. At the same time, Jesse’s defense … [Read more...]